Engineers India Ltd shares surged nearly 3% in Wednesday's session, touching around ₹220.89 intraday following the company's announcement of its board meeting to consider a second interim dividend for FY26. According to the latest BSE filing, the company's board of directors will meet on February 26, 2026, to consider and approve a second interim dividend for FY2025–26. The stock's rally reflects strong investor interest around the upcoming dividend record date and recent robust quarterly performance. As reported by Samco, the PSU stock has clearly delivered multibagger returns over the long term, with the current momentum driven by both dividend expectations and solid financial results.
The dividend consideration follows a remarkable third quarter ended December 2025 performance that significantly exceeded previous estimates. According to Samco, EIL reported a consolidated net profit of ₹347.17 crore for Q3 FY26, representing a more than threefold increase from ₹108.73 crore in the same period last year. Revenue from operations showed exceptional growth, rising to ₹1,210.24 crore compared to ₹764.59 crore in Q3 FY25. The company's operating performance was particularly impressive, with EBITDA soaring to ₹352.2 crore from ₹97.9 crore a year ago, while the EBITDA margin expanded sharply to 29.1% from 12.8%, reflecting an impressive 1,630 basis points year-on-year growth. The growth was broad-based across segments, with the turnkey projects segment showing particularly sharp expansion compared to last year.
The company has fixed March 6, 2026 as the record date to determine shareholder eligibility for the proposed dividend. Shareholders whose names appear as beneficial owners in depository statements as of March 6, 2026, will be eligible for dividend in respect of shares held in electronic form, while physical shareholders whose names appear in the Register of Members as of that date will receive dividend payments. As reported by Samco, dividend announcements often create short-term traction in the stock market, especially in PSU stocks with consistent payout history. EIL has declared 46 dividends since August 30, 2001, with the company declaring an equity dividend amounting to ₹3 per share in the past 12 months. At the current share price of ₹220.89, the dividend yield stands at 1.38%.
As reported by CNBC TV18, EIL has closed the trading window for dealing in its securities from February 17 to February 28, 2026. The trading window will reopen on March 2, 2026. The company has advised all designated persons to refrain from trading in EIL securities during the closure period, as per the exchange filing. During this period, all designated persons have been instructed to refrain from trading in EIL shares, in accordance with regulatory requirements.
According to Samco, the stock has been a market outperformer with 34% returns over a 1-year period and prices have jumped nearly 180% over the past three years. The stock witnessed a bulk deal where BofA Securities bought nearly 46 lakh shares of the PSU major for around ₹100 crore, purchasing shares at ₹217.06 apiece, which was an 8% premium over the Friday closing price of ₹201.67. EIL has maintained a consistent dividend payout over recent years, with the company declaring an interim dividend of ₹1.00 per share in December 2025, followed by a final dividend of ₹2.00 per share in August 2025. Earlier in February 2025, an interim dividend of ₹2.00 per share was paid, while the final dividend for the fiscal year 2023–24 stood at ₹1.00 per share in August 2024.
