Bajaj Auto Sets June 24 Record Date for ₹5,632 Crore Buyback
Two-wheeler giant Bajaj Auto has officially fixed June 24 as the record date to determine shareholder eligibility for its massive ₹5,632 crore share buyback program. This move marks the company's largest-ever repurchase of shares, signaling strong confidence in its long-term financial health and cash reserves.
Details of the ₹5,632 Crore Buyback Program
In a recent exchange filing, Bajaj Auto confirmed that the buyback will be conducted via the tender route. The company aims to repurchase up to 46.94 lakh shares, which represents approximately 1.68% of its total paid-up share capital. Each share carries a face value of ₹10.
Investors looking to participate in this corporate action can expect a significant premium. Bajaj Auto has set the buyback price at ₹12,000 per share, which represents a premium of nearly 19.5% over the stock's previous closing price. This follows a previous buyback of ₹4,000 crore earlier in 2024, where the repurchase price was set at ₹10,000 per share, highlighting the company's consistent strategy of returning value to its shareholders.
Robust Financial Performance and Shareholding Pattern
The decision to initiate such a large-scale buyback is backed by exceptional quarterly earnings. For Q4 of FY26, Bajaj Auto reported its highest-ever quarterly profit of ₹2,746 crore, a massive 34% jump from the ₹2,049 crore recorded in the same period last year. Revenue from operations also saw a significant year-on-year rise of 32%, reaching ₹16,006 crore.
The company's EBITDA climbed 36% YoY to ₹3,323 crore, with EBITDA margins expanding by 60 basis points to 20.8%. This financial strength is reflected in its market capitalisation, which currently exceeds ₹2.82 lakh crore.
As of March 31, 2026, the company's shareholding pattern showed promoters holding a 55% stake. Financial institutions, including banks and mutual funds, held 14.5%, while foreign investors accounted for nearly 10%. The remaining 21% was held by the general public and other corporates. This distribution is expected to shift slightly following the successful completion of the buyback.
Stock Performance and Additional Dividend News
Bajaj Auto’s stock has been a strong performer for long-term investors. While the stock saw a minor 1% dip in the last month, it has gained 19% over the past year. More impressively, it has delivered 117% returns over a three-year period and 142% returns over five years.
In addition to the buyback, the company has also rewarded shareholders with a substantial dividend. Bajaj Auto announced a dividend of ₹150 per share (1,500%) for the financial year ended March 31, 2026. The record date for dividend eligibility was fixed on May 29, with the payout expected on or around July 24, 2026.
Key Takeaways
- Record Date & Price: June 24 is the record date for the ₹5,632 crore buyback, with shares being repurchased at a premium price of ₹12,000 per share.
- Record Profits: The buyback follows a stellar Q4 FY26, where the company reported a record quarterly profit of ₹2,746 crore and a 32% increase in revenue.
- Shareholder Returns: Alongside the buyback, investors are set to receive a dividend of ₹150 per share, payable around July 24, 2026.