Nestlé India has announced a special dividend of Rs 2 per equity share for FY25-26. The dividend will be paid from retained earnings and shareholders eligible on July 10, 2026, will receive it by July 30, 2026.

Nestlé India Announces Rs 2 Special Dividend

Nestlé India Limited has declared a special dividend of Rs 2 per equity share for the financial year 2025-26. The dividend is applicable to equity shares with a face value of Re 1 each.

What just happened

The company has announced a special interim dividend of Rs 2 per equity share for the fiscal year ending March 2026. This payout is set to be distributed to eligible shareholders.

Why this matters

This special dividend provides a direct return of capital to Nestlé India's shareholders, reflecting the company's profitability and cash position. Investors can expect an additional payout alongside the regular dividend.

The backstory

The special dividend is funded from a 'Balance Reclassified Amount' of Rs 7,410.1 million. This amount was part of the General Reserve and was reclassified to Retained Earnings following a Scheme of Arrangement approved by the National Company Law Tribunal, effective October 19, 2023. Previously, Rs 964.2 million from this reclassified pool was used for a bonus share issue in August 2025.

What changes now

Shareholders recorded by July 10, 2026, will be entitled to receive this special dividend. The payment is scheduled to commence on or after July 30, 2026. The company has significant retained earnings of Rs 51,070.7 million as of March 31, 2026, supporting this payout.

Risks to watch

No specific risks were highlighted in the filing concerning this dividend announcement. The payout is from existing retained earnings and a reclassified reserve amount.

Peer comparison

While specific peer dividend announcements are not detailed here, Nestlé India's consistent payouts reflect its strong financial performance and commitment to shareholder returns within the FMCG sector.

Context metrics (time-bound)

• Special Dividend: Rs 2 per equity share.
• Total Equity Shares Outstanding: 1,928,314,320.
• Total Retained Earnings (as of 31st March 2026): Rs 51,070.7 Million.
• Balance Reclassified Amount (used for payout): Rs 7,410.1 Million.
• Record Date: July 10, 2026.
• Payment Date: On and from July 30, 2026.

What to track next

Investors should monitor Nestlé India's upcoming financial reports for continued performance and future dividend policies. Confirmation of the dividend payment on the scheduled date is also key.