IRFC share price edges higher ahead of dividend record date. Should you buy this Navratna stock?

Navratna PSU stock Indian Railway Finance Corporation (IRFC) share price jumped over 2.26 per cent on Thursday ahead of dividend record date.

At 9:30 am, IRFC shares were trading at ₹131.39 apiece on March 20 on National Stock Exchange (NSE). The stock has gained over 8.23 per cent in past five trading sessions.

IRFC second interim dividend details

On March 17, the board of IRFC has declared a second interim dividend of ₹0.80 per equity share with a face value of ₹10 for the ongoing financial year, as stated in an exchange filing.

“The Board of Directors of the Company at its meeting held on Monday, 17th March 2025 inter alia, considered and approved the declaration of Second Interim Dividend of Rs. 0.80/- per equity share of Rs. 102- each for the financial year 2024-25,” the company said in the filing.

The company announced after its board meeting on Monday, March 17, that the record date for the dividend has been set for Friday, March 21.

"Further, as informed vide letter dated 10th March, 2025, the "Record date" for determining eligibility of shareholders for payment of the said Second Interim Dividend, as declared by the Board is Friday, 21st March 2025," it added.

The dividend will be distributed to shareholders within 30 days from the declaration date of the second interim dividend.

IRFC dividend history

This marks the ninth time the state-owned railway financier has issued a dividend payout.

Since its listing in 2021, IRFC has declared a dividend of ₹1 or more per share only once, which was also its first-ever dividend payment post-listing.

From 2022 onwards, IRFC has alternated between paying dividends of ₹0.8 and ₹0.7 per share over the last five instances.

IRFC has distributed a total dividend of ₹7.05 per share to its shareholders so far. The shares of IRFC will trade ex-dividend either on the record date or the day before.

IRFC is also among the stocks where the government may consider divesting its stake to meet the Minimum Public Shareholding (MPS) requirements.I

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