Tech Mahindra to Consider Interim Dividend and Bonus Issue in October 2026
Tech Mahindra’s board is scheduled to meet on 15 and 16 October 2026 to review and approve the audited standalone and consolidated financial results for the second quarter and half-year ended 30 September 2026. The company confirmed that the meeting will also consider the proposal for declaration of an interim dividend for the financial year 2026-27 and the issue of bonus shares. The results are expected to be declared on 15 October 2026, with the board meeting taking place on the same day and the following day.
The company has not yet disclosed the specifics of the proposed bonus issue or the interim dividend amount for FY27. This would mark the first bonus share issue by Tech Mahindra since March 2015. In its previous bonus issue, the company allotted one bonus share for every existing share held by shareholders.
Tech Mahindra has a history of returning value to shareholders through dividends. In July 2026, the company announced a dividend of ₹36 per share, its highest-ever payout to date. Over the past three years, the IT services firm has distributed a total of ₹168 per share in dividends, comprising interim dividends of ₹15 per share each in October 2025 and October 2024, and final dividends of ₹30 per share in 2025, ₹28 in 2024, and ₹32 in 2023.
Brokerage firm Kotak Institutional Equities has forecasted 1.6% quarter-on-quarter growth for Tech Mahindra’s Q2 FY27 results, driven by contributions from the Orange deal and ramp-up of strong deal wins from earlier quarters. This growth is expected to be partially offset by a decline in Pininfarina revenues following the delivery of a large programme in the first quarter. The firm noted steady EBIT margins, with benefits from rupee depreciation and operational efficiencies being offset by an 80 basis point headwind from wage revisions. A forex loss of US$25 million is anticipated for the quarter, while net new deal wins are projected at around US$0.9 billion — lower than the prior three quarters but representing a healthy 10% year-on-year increase.
The company is set to announce its Q2 FY27 results on 15 October 2026, following the board meeting. No further details on the bonus issue ratio or dividend rate have been provided as of the latest exchange filing.
Market Spider rewrites market reports for information only—not investment advice. Trading in securities involves risk of loss.