Gujarat Mineral Development Corporation has appointed Prof. Amit Karna as an Additional Independent Director, effective October 21, 2026. The appointment also includes his designation as a member of the company's Audit Committee.

The Board of Directors made the appointment pursuant to Regulation 30 read with Schedule III, Part A, Para A(7) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The appointment is subject to approval by shareholders in compliance with SEBI LODR and the Companies Act, 2013.

Profile and expertise

Prof. Karna is a Professor of Strategy at the Indian Institute of Management Ahmedabad (IIMA), where he has served on the faculty since 2014. He currently holds the position of Dean, Alumni & External Relations at IIMA, effective June 5, 2026, and serves as a Member of the Board of Governors at the institute.

His academic background includes a Ph.D. in Strategy from IIMA (Fellow Programme in Management, 2004–2009). Prior to joining IIMA, he was an Assistant Professor at EBS Business School in Germany from 2009 to 2014. He has also been a visiting scholar at the Haas School of Business, University of California, Berkeley, and the University of Sydney Business School.

At IIMA, Prof. Karna has chaired several key centers and programs, including:

• The Centre for Innovation, Incubation and Entrepreneurship (CIIE, now IIMA Ventures)
• The Business Policy (Strategy) Area
• Placements
• The One Year MBA Programme (PGPX)

His areas of expertise encompass strategic management, technology and innovation management, and entrepreneurship. His research focuses on dynamic capabilities, innovation, and international strategy. He has advised both government and private sector organizations on strategy and management issues.

Governance details

The appointment is for a term of five consecutive years, with the director not liable to retire by rotation. The company confirmed that Prof. Karna is not related to any Director, Promoter, or Key Managerial Personnel of GMDC in terms of Regulation 2(1)(zb) of SEBI LODR. Additionally, he is not debarred from holding the office of Director by virtue of any SEBI order or other authority.

Gujarat Mineral Development Corporation Limited presented a dividend cheque of ₹223.55 crore to the Government of Gujarat on October 21, 2026. This payment represents the state government's share of the company's final dividend for FY26, underscoring the consistent cash returns from this key public sector enterprise.

The cheque was handed over to Chief Minister Bhupendra Patel by Managing Director Ajay Bhadu. The final dividend of ₹9.50 per share (475% on face value) was approved by shareholders at the 63rd Annual General Meeting held on September 30, 2026. With the government holding a 74% equity stake, it receives the majority of the total shareholder payout of ₹302.10 crore.

Financial performance and dividend policy

The dividend declaration aligns with GMDC's robust financial performance in FY26. The company reported a standalone profit after tax (PAT) of ₹990.81 crore, a significant rise from ₹687.92 crore in FY25. The total dividend payout corresponds to approximately 30% of the standalone PAT, adhering to the progressive dividend policy for state public sector enterprises.

It is important to note that the FY26 profit includes an exceptional gain of ₹522.65 crore arising from input tax credit following GST rate rationalisation on lignite. Excluding this non-operational item, the core operational profitability would be significantly lower, though still substantial given the scale of the gain relative to total earnings.

What the Numbers Show

The dividend payout highlights a strong dependency on one-off regulatory benefits for this specific fiscal year's headline profit. While the ₹990.81 crore PAT suggests robust health, the ₹522.65 crore exceptional gain constitutes over half of the reported profit. Consequently, the dividend coverage ratio based on operating income alone is tighter than the headline figures suggest. However, the cumulative dividends paid to the government over the last five years (FY22-FY26) exceeding ₹1,050 crore demonstrate a sustained commitment to returning capital, regardless of annual exceptional items.

Strategic outlook

Lignite remains the core business for GMDC, supported by five mines across Kutch, South Gujarat, and Bhavnagar. The company is actively diversifying its portfolio to reduce reliance on traditional mining revenues. Key growth areas include:

• Three coal blocks in Odisha
• Copper and rare earth elements projects
• 205.9 MW of wind and solar capacity
• A 250 MW lignite-based thermal power station at Akrimota

Managing Director Ajay Bhadu emphasized that the financial discipline reflected in this dividend will be carried into future projects, aiming to strengthen the lignite business while advancing critical mineral initiatives for India's resource security.