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Spice Islands Industries Declares ₹0.50 Second Interim Dividend EX Date Today: Shares Rise 1.99% 

By HDFC SKY | Published at: Feb 27, 2026 02:36 PM IST

Spice Islands Industries Declares ₹0.50 Second Interim Dividend EX Date Today: Shares Rise 1.99% 
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Spice Islands Industries shares were up 1.99% after the company confirmed communication to shareholders regarding tax deduction at source (TDS) on its second interim dividend of ₹0.50 per equity share for FY2025–26, following a Board declaration on February 14, 2026. 

The board confirmed the second interim dividend on February 20, 2026. The shares were trading at ₹258.30, up ₹5.05 or 1.99% on the day, as of 12:15 PM IST on February 27, 2026, according to exchange data. 

The intimation, addressed to BSE Limited under Regulation 30 read with Schedule III Para A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, relates to dividend taxation procedures applicable under the Income-tax Act, 1961. The company stated that emails were dispatched to shareholders whose addresses are registered with the company or depositories. 

The interim dividend is set against equity shares of face value ₹10 each and will be paid to members on the register as at the record date of February 27, 2026. 

Interim Dividend And Statutory TDS Framework 

According to the shareholder communication dated February 20, 2026, and signed by Arti Lalwani, Company Secretary and Compliance Officer, dividend distributed on or after 1 April 2020 is taxable in the hands of shareholders. Consequently, the company is required to withhold tax at source at the time of payment. 

The applicable TDS rate will depend on shareholder category and documentation furnished including PAN details, residential status declarations and relevant exemption certificates where eligible. Failure to provide valid Permanent Account Number (PAN) particulars may attract higher withholding, as prescribed under Section 206AA of the Income-tax Act. 

Under Indian dividend taxation norms reinstated in Finance Act 2020, companies no longer pay Dividend Distribution Tax; instead, withholding obligations shift to the issuer at payment stage. A compliance exercise rather than a capital allocation revision but operationally material. 

Share Price Movement On February 27, 2026 

Shares of Spice Islands Industries opened at ₹248.20 and touched a high of ₹258.30 and a low of ₹248.20 so far. 

The previous close stood at ₹253.25. So far in the session, volumes reflected moderate participation relative to recent averages. The 52-week range remains ₹32.30 to ₹313.15. 

At the current price of ₹258.30, the trailing 12-month dividend of ₹1.00 per share implies a yield of approximately 0.39%. 

Dividend Track Record 

Exchange records indicate the company has declared 10 dividends since August 2009. In the past 12 months, aggregate equity dividends amount to ₹1.00 per share, comprising two interim payouts of ₹0.50 each, dated November 21, 2025 and February 27, 2026, respectively. 

The consistent use of interim distributions rather than a single final dividend reflects a staggered payout approach. No change in capital structure was indicated in the latest filing. 

Company Background 

Spice Islands Industries Limited, formerly known as Spice Islands Apparels Limited, is engaged in the manufacture and export of ready-made garments. The company operates from its registered office in Bhandup (West), Mumbai, and is listed on BSE under Scrip Code 526827. 

Conclusion 

The February 20 disclosure does not alter the declared dividend quantum but formalises tax withholding mechanics ahead of payment. Market reaction on the record date was positive, with shares advancing nearly 2% intraday. Further price movement may hinge on broader sector cues and liquidity conditions rather than the dividend event itself. 

Source: 

  • https://www.bseindia.com/xml-data/corpfiling/AttachHis/8d989f87-efb8-4622-9fbc-f9e06e7bab15.pdf 
  • https://www.bseindia.com/stock-share-price/spice-islands-industries-ltd/spiceislin/526827/ 
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