Trent dividend 2026: ₹6 payout and 1:2 bonus after Q4

Trent Ltd, Tata Group’s retail arm, announced two shareholder actions alongside its Q4 FY26 and full-year FY26 financial results released after market hours on Wednesday. The board recommended a 600% dividend and approved a 1:2 bonus share issue, both subject to shareholder approvals.

The announcements put the stock in focus on Thursday, even as the counter saw a short-term dip in early trade. Trent also disclosed operational and profitability metrics for the March quarter and the full financial year ended March 31, 2026.

What Trent’s board announced with FY26 results

The company’s regulatory filing outlined two key proposals for shareholders: a final dividend recommendation and a bonus issue. Trent said the dividend recommendation is for FY26 and is linked to the ₹1 face value of its equity shares.

In parallel, the board approved a bonus issue in the ratio of 1:2, meaning eligible shareholders would receive additional shares without paying extra. The record date for determining eligibility for the bonus issue will be communicated later.

Both proposals are subject to shareholder approval, as stated in the filings referenced in the provided context.

Trent dividend 2026: 600% equals ₹6 per share

Trent’s board recommended a dividend of 600%, translating to ₹6 per equity share of face value ₹1 each. The company clarified that the dividend, if approved, will be paid to members whose names appear in the register of members or beneficial owners as on the record date fixed by the board.

The filing also stated that the dividend, if approved by shareholders, shall be paid on or after the third day from the conclusion of the company’s 74th Annual General Meeting (AGM). Separately, it said the actual transfer of funds will happen on or after the third day from the date of declaration of dividend at the AGM.

A key caveat for investors is the interaction between the dividend and the bonus issue. Trent said that if the bonus equity shares are approved, the dividend per share, if declared, will be proportionately reduced to reflect the increase in the number of equity shares post bonus.

1:2 bonus issue: how it works for shareholders

Trent approved issuance of bonus shares in the proportion of 1:2. This means shareholders would receive one new fully paid-up equity share of ₹1 face value for every two existing fully paid-up equity shares of ₹1 face value held on the record date.

The record date for eligibility will be announced later, and the issuance remains subject to shareholder approval. Trent also indicated a timeline for credit or dispatch: bonus shares would be credited or dispatched within two months from the date of the board meeting approving the bonus, stated as by June 21, 2026.

Another disclosure in the provided context said around 17.77 crore shares of face value ₹1 each will be issued as part of the bonus offer. The company plans to allot these bonus shares by June 21 using share premium worth ₹17.77 crore.

Q4 FY26 earnings: profit up 32.5%, EBITDA margin expands

For the January to March quarter, Trent reported a profit surge of 32.5% year-on-year to ₹413 crore, beating estimates cited in the context. Revenue grew 19.2% to ₹5,028 crore, slightly below an estimate of ₹5,060 crore mentioned in the same set of reports.

Operating profitability also improved. Trent’s EBITDA jumped 42.3% year-on-year to ₹927.8 crore, compared with a market estimate of ₹848 crore. The EBITDA margin rose to 18.5% from 15.5% last year, and was above an estimated 16.8%.

FY26 full-year numbers: profit and revenue growth

For FY26, Trent reported net profit of ₹1,967.82 crore, up from ₹1,584.84 crore in the prior year, as cited in the provided text. The same context said the company’s total income in FY26 was more than ₹20,075 crore.

Revenue from operations for FY26 was around ₹19,701 crore, compared with ₹16,668 crore in the prior year, indicating a year-on-year increase. These figures were presented as evidence of a strong year for the retailer.

Funding the bonus: share premium position disclosed

Along with the bonus ratio and timeline, the context included details on how the bonus issue will be capitalised. Trent plans to use share premium worth ₹17.77 crore to issue about 17.77 crore bonus shares of ₹1 face value each.

It also disclosed that total share premium available for capitalisation stood at ₹1,924.3 crore as of March 31, 2026. Using share premium for capitalisation is one route companies use for issuing bonus shares.

Stock reaction: early dip despite corporate actions

Following the post-market announcement, Trent shares declined as much as 4% in early trade on Thursday, touching a low of ₹4,252.60 per share on BSE. At last check, the stock was down 2.49% at ₹4,325.20.

Another data point in the provided context said Trent share settled at ₹4,434.50 apiece on April 22, 2026. Despite the short-term decline, the stock was also reported to have gained nearly 29% over a one-month period.

Fundraising enabling approval: up to ₹2,500 crore

One report in the provided context also said the board granted enabling approval to raise additional funds not exceeding ₹2,500 crore. The proposed routes mentioned include issuance of equity shares through a rights issue and or any other permissible modes, in one or more tranches, subject to requisite approvals.

The company indicated that timelines for such capital raising would be evaluated and pursued in due course.

Key data snapshot

What investors should track next

For shareholders, the immediate next steps are the record dates and the AGM outcome. Trent has said the record date for the bonus eligibility will be announced later, and the dividend will be paid to eligible members as on the record date fixed by the board.

The filings also highlight that the per-share dividend will be proportionately reduced if the bonus issue is approved, reflecting the higher number of shares. Investors tracking their expected cash payout will need to account for this adjustment once the bonus is implemented.

Conclusion

Trent’s FY26 results announcement combined a higher recommended dividend of ₹6 per share with a 1:2 bonus issue proposal, while also reporting higher quarterly profit, revenue growth, and margin expansion in Q4 FY26. The next milestones are shareholder approvals, record date announcements, and the company’s stated timeline to credit bonus shares by June 21, 2026.