TCS dividend payout: How much promoters, LIC will get as shares go ex-dividend

Tata Consultancy Services Ltd (TCS), India's most-valued IT stock, will turn ex-date for dividend on Wednesday, July 11. The Mumbai-headquartered IT firm had declared an interim dividend of Rs 11 per share, its first for the financial year FY2025-26. TCS shareholders, whose names appear on the register of members of the company or in the records of the depositories as beneficial owners of the shares today, would be eligible for the dividend that would be paid on Monday, August 4.

"We would like to inform you that at the board meeting held today, the Directors have declared an interim dividend of Rs 11 per Equity Share of Re 1 each of the company," TCS informed stock exchanges NSE and BSE recently. 
TCS promoters owned 71.77 per cent stake, or 2,59,65,58,628 shares, in the IT giant at the end of March quarter, as per the latest filing. They would receive Rs 2,856 crore in total dividend. Tata Investment, Tata Steel and Tata Power are among Tata group's listed entities, which are also a part of TCS promoters. These entities would also receive dividends, but negligible.

Among public shareholders, LIC will receive Rs 184.42 crore in dividend as it owned 16,76,58,326 shares or 4.63 per cent stake in TCS as of March 31.

The IT major, which has a capital allocation policy of returning 80-100 per cent of free cashflow to shareholders, reported a total shareholder payout of Rs 45,588 crore in FY25, translating to a 94 per cent payout ratio, as per its Integrated Annual Report 2024-25. This compares with Rs 47,445 crore in FY24, Rs 42,079 crore in FY23, Rs 38,010 crore in FY22 and Rs 33,873 crore in FY21.

For FY25, Tata Consultancy Services (TCS) declared a total dividend of Rs 126 per equity share. This included three interim dividends of Rs 10 each, a special dividend of Rs 66, and a final dividend of Rs 30 per share.

In comparison, for FY24, the company paid a total dividend of Rs 73 per share, comprising three interim dividends of Rs 9 each, a special dividend of Rs 18, and a final dividend of Rs 28. In addition to dividends, TCS executed a share buyback of 4,09,63,855 equity shares at Rs 4,150 per share, amounting to Rs 17,000 crore. The total shareholder payout for FY24 — including dividends, buyback, and applicable taxes (excluding transaction and incidental costs) — stood at Rs 47,445 crore.

According to AceEquity data, the total dividend payout alone in FY23 was Rs 57,828 crore.

TCS has consistently declared dividends every quarter since its listing, and over the years, has also undertaken three bonus issues and five share buybacks. Since FY04, the company has distributed Rs 2,19,118 crore in dividends.

Most recently, for FY25, the board recommended a final dividend of Rs 30 per share, completing the total payout of Rs 126 for the year.