TCS final dividend for FY24 today. Dividend history, results preview & more

The board of Tata Consultancy Services Ltd (TCS) will consider paying a final dividend for FY24 in a meeting today. If approved the proposal will be up for shareholder approval at TCS' upcoming 29th Annual General Meeting (AGM). For FY24, TCS has announced Rs 45 per share in total dividend so far.

This included a special dividend of Rs 18 per share and an interim dividend of Rs 9 per cent share post its third quarter results. TCS announced interim dividends of Rs 9 each in the second and first quarter. Besides, it also came out with Rs 17,000 crore share buyback in FY24.

TCS announced a final dividend of Rs 24 in FY23. In total, it paid Rs 115 per share dividend in the previous financial year, amounting to Rs 33,306 crore in dividend payments for FY23. The dividend yield stood at 3.59 per cent. TCS paid Rs 7,686 crore in dividend in FY22, Rs 8,510 crore in dividend in FY21 and Rs 25,125 crore in dividend in FY20.

TCS paid Rs 43 per share dividend in FY22, Rs 38 per share dividend in FY21 and Rs 72 per share dividend in FY20. TCS has a policy of returning 80-100 per cent of free cash flow (FCF) to company shareholders. In FY23, its total payouts stood at 110 per cent of FCF.

Analysts expects TCS to lead tier-1 IT firms in terms on revenue, profits and margins on moderated expectations. Net-net, the IT firm is seen reporting 5-6 per cent year-on-year (YoY) jump in net profit on a 3-4 per cent increase in sales. Analysts said Ebit margin for TCS may improve 30-50 basis points on a sequential basis and deal wins in the range of 8-10 billion for the quarter.

TCS results will be out after 3.30 pm today. It will address media at 5:30 pm IST and would host earnings conference call at 7 pm IST.

JM Financial sees TCS reporting 5.3 per cent year-on-year (YoY) jump in net profit at Rs 11,991.90 crore compared with Rs 11,392 crore in the same quarter last year. It sees revenue increasing 3.5 per cent YoY (1.1 per cent QoQ) to Rs 61,240 crore from Rs 59,162 crore. It sees dollar revenue rising 1.3 per cent sequentially to $7,737 million. Sales growth in constant currency terms is seen at 1 per cent.

Emkay Global expects TCS' profit to jump 5.6 per cent YoY to Rs 12,035 and sales 4.1 per cent YoY to Rs 61,580 crore.