Tech Mahindra532755Bonus issue news

Board recommends 1:1 bonus issue, declares Rs. 15 interim dividend

Board recommends bonus issue in the ratio 1:1 — one new fully paid-up equity share of Rs. 5/- for every one held.

By ScoutQuest · Thu 15 Oct 2026, 5:05 PM IST · 4 min read

Bonus Issue Ratio: 1:1 — one new fully paid-up equity share of Rs. 5/- for every one held
Interim Dividend: Rs. 15/- per share of face value Rs. 5/- each (300%) for FY 2026-27
Dividend Record Date: 23 October 2026

What the Board decided

The Board met on Thursday, 15 October 2026 and approved the audited consolidated and standalone financial results for the second quarter and half year ended 30 September 2026, along with unmodified audit reports. It also declared an interim dividend and recommended a bonus issue of equity shares for shareholder approval through postal ballot.

Bonus issue: 1 for 1

The Board has recommended the issue of Bonus Equity Shares in the ratio of 1:1, i.e. one (1) new fully paid-up Bonus Equity Share of Rs. 5/- each for every one (1) existing fully paid-up equity share of Rs. 5/- each held by the Eligible Members on the record date set for this purpose.
The recommendation goes to shareholders for approval through postal ballot.
Total number of securities proposed to be issued: 98,02,05,040 Equity Shares of Rs. 5/- each, fully paid-up, amounting to Rs. 4,90,10,25,200/-. The actual number of Bonus Equity Shares will be determined based on the fully paid-up equity shares in the share capital of the Company as on the Record Date.
The issue is out of free reserves created out of profits or the share premium account, by capitalisation of amounts standing to the credit of the Securities Premium Account and/or General Reserves and/or Retained Earnings and/or any other permitted Reserves, as per the audited financial statements for the financial year ended 31 March 2026.
Free reserves and/or share premium required for implementing the bonus issue: Rs. 490.10 crore, based on the estimated number of bonus shares.
Reserves available as on 31 March 2026, as per the latest audited standalone balance sheet: Securities Premium Account Rs. 2,831.1 crore, Capital Redemption Reserve Rs. 10.3 crore and Retained Earnings Rs. 18,372.6 crore. These figures are audited.
Estimated date by which the bonus shares would be credited/dispatched: within 2 months from the date of Board approval, i.e. by 15 December 2026.
The record date for the purpose of issue and entitlement of Bonus Equity Shares will be intimated separately.

Share capital before and after

Pre-bonus Authorised Share Capital: Rs. 9,24,30,00,000/- comprising 1,84,86,00,000 equity shares of Rs. 5/- each, fully paid-up.
Pre-bonus Issued, subscribed and paid-up share capital: Rs. 4,90,10,25,200/- comprising 98,02,05,040 Equity Shares of Rs. 5/- each, fully paid-up.
Post-bonus Authorised Share Capital: Rs. 10,00,00,00,000/- comprising 2,00,00,00,000 equity shares of Rs. 5/- each, fully paid-up.
Post-bonus Issued, subscribed and paid-up share capital: Rs. 9,80,20,50,400/- comprising 1,96,04,10,080 Equity Shares of Rs. 5/- each, fully paid-up.
The actual post-bonus share capital will be determined based on the fully paid-up equity shares in the share capital as on the Record Date.
The Board has also recommended an increase in the Authorised Share Capital of the Company from Rs. 924.3 crore to Rs. 1,000 crore, with a consequent amendment to the existing Clause V(a) of the Memorandum of Association. This too is placed before shareholders for approval through postal ballot.

Interim dividend

Declared an Interim Dividend of Rs. 15/- per equity share of the face value of Rs. 5/- each (300%) for the Financial Year 2026-27.
The Record Date for entitlement of the Interim Dividend is Friday, 23 October 2026.
The Interim Dividend shall be paid by 13 November 2026 through electronic mode to members or their mandates as per the records of the depositories and the Register of Members.

Auditor's view on the results

The statutory auditor, B S R & Co. LLP, has issued an unmodified opinion on the consolidated financial results for the quarter ended 30 September 2026 and the period from 1 April 2026 to 30 September 2026.
Emphasis of Matter: Note 4 of the consolidated financial results relates to erstwhile Satyam Computer Services Limited, amalgamated with the Holding Company with effect from 1 April 2011. Claims made by 37 companies in the City Civil Court for alleged advances amounting to Rs. 12.304 million are presented separately under "Suspense Account (net)". Management believes, on the basis of current legal status, lack of documentation and external legal opinion, that these claims will not be payable on final adjudication. The opinion is not modified in respect of this matter.
Other Matter: the consolidated financial results include the audited financial results of 62 subsidiaries whose interim financial statements reflect total assets (before consolidation adjustments) of Rs. 177,609 million as at 30 September 2026, total revenue (before consolidation adjustments) of Rs. 54,207 million and Rs. 108,488 million, net profit after tax (before consolidation adjustments) of Rs. 2,598 million and Rs. 5,278 million for the quarter and the half year respectively, and net cash inflows of Rs. 131 million for the period from 1 April 2026 to 30 September 2026.

Meeting details

The Board meeting convened on Thursday, 15 October 2026 commenced at 2:30 p.m. (IST) and concluded at 4.45 p.m. (IST). It was thereafter adjourned to be convened on Friday, 16 October 2026.

Also from Tech Mahindra

Board recommends 1:1 bonus issue, declares Rs. 15 interim dividend

Tech Mahindra traded near its 52-week high after a sharp rally, with analysts recommending booking some profits

Q2 FY27 earnings call: 1:1 bonus recommended, revenue US$1.693 billion, operating margin 14.8%

Tech Mahindra jumped after a 33% profit surge