TCS board to consider suggestions on dividend policy, buyback

Amid calls in the IT industry for sharing of cash pile with shareholders and investors, India's largest software company Tata Consultancy Services today said its board will discuss suggestions received on certainty over dividend policy and share buyback.

Outgoing TCS chief N Chandrasekaran, while stating that the company had received suggestions from investors over the need for certainty on dividend policy along with share buyback to distribute the cash, told ET: "These two comments have come from investors and we will discuss it in the board."

He also said that over the years, TCS has been increasing its dividend payments to shareholders.

He also talked about who would take over as the company's new CFO as the incumbent Rajesh Gopinathan will replace him as CEO.

"We have an internal candidate, we will announce that candidate. We have to go through the board. So, in the next board meeting, that will get formalized," he told ET.

On the way ahead for TCS, he said Gopinathan and his team understand the industry and the company does not need any major management or strategic changes because of his elevation to Tata Sons.

The way TCS operates will not change, he clarified, adding however that the company will shift to a higher gear on cloud and automation.

"We already operate in cloud space. We have a clear view on what we want to do in the cloud space. We have done a lot of work in automation, we want to see how we can take it to the next level," Chandrasekaran told ET.