Sun Light Limited was incorporated on 22nd January 2024 with the objects of providing software services. The company adopted its first financial…

According to section 123 (3) of the Companies Act, 2013, the Board of Directors of a company may declare interim dividend during any financial year or at any time during the period from closure of financial year till holding of the annual general meeting out of the surplus in the profit and loss account or out of profits of the financial year for which such interim dividend is sought to be declared or out of profits generated in the financial year till the quarter preceding the date of declaration of the interim dividend. In the instant case, Sun Light Limited has complied due diligence in declaring interim dividend as it was declared by Board of Directors at their meeting held on 7th July, 2025 before holding its first Annual General Meeting. Also, the financial statement revealed net profit so the interim dividend can be paid out of profits of the financial year ending 31st March, 2025.