950% Dividend: Highest-Ever Payout Announced by IT Stock, Second Dividend of 2026; Check Record Date

Hexaware Technologies, a global provider of IT solutions and services, has declared its second interim Dividend of Rs 9.50 per equity share with a face value of Rs 1 each for the financial year 2026. The dividend represents 950 per cent of the share’s face value and marks the company's highest-ever interim dividend per share, as per the dividend records available on the stock exchanges.

Hexaware Technologies Dividend History

Record Date of Hexaware Technologies

The board approved the payout through a circular resolution passed on October 20, 2026. October 26, 2026, has been fixed as the record date for determining eligible shareholders, while payment is scheduled to be made on November 7, 2026.

High Dividend Yield

With the latest interim dividend of Rs 9.50 per share, Hexaware Technologies' total declared dividend for calendar year 2026 stands at Rs 18 per share, translating into an indicated dividend yield of approximately 3.04 per cent based on the October 22 closing share price.

The announcement is relevant because it signals continued shareholder distribution even as the IT services company invests in AI-led offerings, delivery capabilities and newer service areas such as legacy modernisation, Zero License and AI-enabled business transformation. The filing, however, does not disclose the aggregate cash outgo from the dividend, making it difficult to assess the precise impact on cash reserves or payout ratio.

Hexaware’s capacity to support shareholder payouts is underpinned by a cash-generative operating model. In CY2025, consolidated operating cash flow stood at Rs 1,739.1 crore, compared with profit after Tax of Rs 1,368.3 crore. Cash and cash equivalents were Rs 1,970.8 crore as of December 31, 2025, while the company had no material consolidated interest-bearing borrowings identified in the extracted balance sheet data.

At the same time, the company’s near-term earnings trajectory remains more important than the dividend itself. In Q2CY26, net sales rose 17.9 per cent year-on-year to Rs 3,845.2 crore, supported by growth in Healthcare and Insurance, Manufacturing and Consumer, and Banking. However, reported profit after tax fell 13 per cent year-on-year to Rs 330.2 crore, and PAT margin declined to 8.6 per cent.

Management has reduced its CY2026 revenue growth guidance to 6-7 per cent, including the contribution from a rebadging deal, citing delayed ramp-ups and a more challenging macro environment. While deal momentum in AI, outsourcing and transformation services remains encouraging, conversion of those wins into revenue and margins will remain the key operating test over the coming quarters.

Disclaimer: The article is for informational purposes only and not investment advice.