Tyre maker MRF is in focus after announcing a large final dividend for shareholders along with its Q4FY26. The company’s board, after its meeting on May 7, recommended a final dividend of Rs 229 per equity share of face value Rs 10 each for the financial year ended March 31, 2026.

The dividend proposal, however, is still subject to shareholder approval at the company’s upcoming Annual General Meeting (AGM). The company is yet to announce the record date for determining eligible shareholders who will receive the dividend payout.

The announcement comes at a time when investors are closely tracking dividend-paying companies amid the ongoing earnings season. 

For MRF shareholders, the latest payout has pushed the company’s total dividend for FY26 to Rs 235 per share.

Let’s take a look at the key details every investors needs to know –

Total dividend payout reaches Rs 235 per share

Earlier during FY26, MRF had already declared two interim dividends of Rs 3 per share each. With the newly announced final dividend of Rs 229 per share, the total dividend payout for the financial year now stands at Rs 235 per share, or 2,350% on the face value of Rs 10 each.

The latest dividend is also among the company’s highest payouts in recent years. However, shareholders will receive the final dividend only after approval during the AGM.

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The company said the record date for the dividend payment will be announced later.

For investors, the record date becomes important because only shareholders holding the stock before that cut-off date become eligible to receive the dividend.

Q4FY26 numbers 

The dividend announcement came alongside a Q4FY26 performance from the tyre manufacturer.

MRF reported a consolidated profit after tax of Rs 702 crore for the quarter ended March 2026, compared to Rs 510 crore in the same period last year. This marks a rise of nearly 37% year-on-year.

Revenue from operations during the quarter rose to Rs 8,044 crore from Rs 7,074 crore a year ago, reflecting growth of around 14%.

The company’s earnings per share (EPS) also increased sharply to Rs 1,655.80 during the quarter compared with Rs 1,203.68 in the same quarter last year.

On a standalone basis, net profit came in at Rs 680 crore compared to Rs 498 crore a year ago.

Meanwhile, Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) rose over 21% year-on-year to Rs 1,305 crore. EBITDA margin improved to 16.2% from 15.2% in the year-ago quarter.

Expenses rise, but profitability improves

Like several manufacturing companies, MRF also saw higher expenses during the quarter.

Total expenses increased around 12% year-on-year to Rs 7,157 crore. Raw material costs, which remain the biggest expense for tyre companies, rose to Rs 4,945 crore from Rs 4,680 crore a year ago.

Employee expenses and other operating costs also moved higher during the quarter.

However, the company managed to improve profitability due to stronger revenue growth and better operating performance.

Profit before tax for the March quarter stood at Rs 900 crore after including an exceptional gain of Rs 15 crore.

MRF shares react positively

Following the earnings and dividend announcement, MRF shares moved higher during intraday trade today.

The stock rose over 2% to touch around Rs 1,33,950 during the trading session.