Jamna Auto Industries Limited (NSE: JAMNAAUTO) announced on May 29, 2026, that its Board of Directors has recommended a final dividend of ₹1.50 per equity share of face value ₹1 each for the financial year ended March 31, 2026. The recommendation, made at a board meeting held at 12:30 p.m., is subject to shareholder approval and follows the simultaneous approval of audited standalone and consolidated financial results for Q4 and full-year FY26.

Dividend Details and Year-on-Year Comparison

The recommended final dividend of ₹1.50 per share marks a 15.4% increase over the ₹1.30 per share final dividend declared in May 2024 for FY25. When combined with the interim dividend of ₹1.00 per share declared in November 2025, the total payout for FY26 stands at ₹2.50 per share. For FY25, the total payout was ₹2.30 per share (₹1.00 interim plus ₹1.30 final), making FY26's aggregate distribution an 8.7% improvement year-on-year.

Dividend History and Payout Trend

Jamna Auto has maintained a consistent two-tranche dividend structure, typically declaring an interim dividend in November and a final dividend in May each year. The trend across recent fiscal years reflects a clear upward trajectory:

Total annual payouts have grown from ₹0.75 in FY21 to ₹2.50 in FY26, representing a compounded annual growth rate of approximately 27.2% over five years, underscoring a structurally strengthening dividend policy at the company.

Company Background

Jamna Auto Industries is India's largest manufacturer of tapered leaf springs and parabolic springs for commercial vehicles. The company supplies to major original equipment manufacturers across the truck, bus, and light commercial vehicle segments, making its financial performance closely linked to the domestic commercial vehicle production cycle. The board also approved a revision in the remuneration of Managing Director Mr. S.P.S. Kohli at the same meeting, subject to shareholder approval, signalling continued management continuity.

What This Means for Investors

With market price data unavailable at the time of this report, a precise dividend yield calculation cannot be provided. However, investors should note that the total FY26 payout of ₹2.50 per share on a face value of ₹1 translates to a 250% payout on face value, reflecting strong free cash flow generation relative to the company's capital base. The consistent year-on-year increase in total dividends across six consecutive fiscal years indicates management's confidence in sustaining earnings. Investors tracking this stock should monitor the record date announcement, which will be disclosed separately, to determine eligibility for the final dividend tranche of ₹1.50 per share.

The board's simultaneous approval of audited FY26 results alongside the dividend recommendation provides an additional data point for investors to assess the company's full-year financial performance once the detailed results are filed with the exchanges.