Blue Star Limited has fixed Friday, July 17, 2026, as the record date to determine shareholder eligibility for a final dividend of ₹8.5 per equity share for the financial year ended March 31, 2026. The payout, recommended by the Board of Directors on May 6, 2026, is subject to the approval of members at the Annual General Meeting scheduled for August 6, 2026. If approved, the dividend will be paid after August 6, 2026, subject to tax deduction at source (TDS) as per the Income Tax Act, 2025.

The company specified that dividend income is taxable in the hands of shareholders and detailed the TDS rates applicable to different categories. For resident individuals with a valid PAN, the TDS rate is 10%, while those without a valid PAN or with discrepancies will face a 20% deduction. Resident non-individuals, such as insurance companies and mutual funds, are eligible for nil TDS upon submission of specific self-declarations and registration certificates.

Tax Rates and Documentation

Blue Star provided a breakdown of tax deduction rates and the required documentation for shareholders to claim exemptions or lower withholding rates. The company emphasized that all tax rates will be enhanced by applicable surcharge and cess.

Submission Deadlines and Procedures

Shareholders must submit relevant tax-related documents, such as Form 121 or declarations for Double Tax Avoidance Agreement (DTAA) benefits, on or before Friday, July 10, 2026. The company stated that any communication received after this date will not be considered, and TDS may be deducted at a higher rate if documents are not provided. Payments will be made exclusively via electronic mode, requiring shareholders to ensure their bank details and KYC compliance are updated with their depository participants or the registrar.

Blue Star clarified that it is not obligated to apply beneficial DTAA rates at the time of withholding if the documentation is incomplete or unsatisfactory. Shareholders can view their tax credit via the TRACES portal or the Income Tax Department's e-filing website. The company also noted that it would not entertain requests for revision of TDS returns based on records available with the registrar.

Blue Star has reported a notable surge in primary sales, recording a growth of 25-30% in April and May compared to the same period last year. The performance highlights strong consumer demand during the peak summer months, which are traditionally the most critical period for the air conditioning and cooling solutions industry in India.

Strong Seasonal Sales Performance

The primary sales growth of 25-30% year-on-year in April and May reflects a significant uptick in business activity for Blue Star during the summer season. Primary sales typically refer to sales made from the manufacturer to the dealer or distributor network, making this metric a key indicator of near-term demand strength and channel momentum.

Key Highlights

• Primary sales growth of 25-30% recorded in April and May
• Growth measured on a year-on-year basis against the corresponding months of the previous year
• Performance reflects demand trends during the peak summer cooling season in India

The reported growth figures are particularly significant given that April and May represent the height of the summer season in India, when demand for air conditioners and related cooling products typically peaks. Primary sales growth at this level indicates strong channel offtake and healthy inventory movement across Blue Star's dealer and distributor network during this period.