Chasing the highest dividend yields might seem like a smart move, but it’s not always the safest.
A sky-high dividend from a financially weak company can be a red flag, not a reward. Without strong fundamentals, that payout may disappear just as quickly as it appeared.
Instead, the real winners are often companies that combine steady earnings, solid leadership, and long-term growth potential.
These businesses tend to offer reliable dividends that grow over time, not just one-time windfalls.
Here’s a look at the 5 dividend-paying companies from the Nifty 500 index based on FY25 data.
#1 Tata Consultancy Services
First on the list is Tata Consultancy Services (TCS).
TCS is a leading global IT services, consulting and business solutions company. It’s the largest IT company in India and has a presence in 55 countries.
The company declared a total dividend of Rs 456.1 billion (bn), a 72.6% increase year on year (YoY).
This included a final dividend of Rs 30 per share, along with a total payout of Rs 76 in January, which comprised a Rs 10 interim dividend and a Rs 66 special dividend. The company had declared dividends of Rs 10 each in the first and second quarters of the year.
Overall, the company declared a dividend of Rs 126 per share on a face value of Re 1, translating to an equity dividend percentage of 12,600%.
In 2024, TCS issued dividends on three occasions: Rs 27 in January (Rs 9 and Rs 18), Rs 28 in May, Rs 10 in July, and another Rs 10 in October.
The firm’s payout ratio surged to 93.9% of FY25 net profit, significantly higher than 58% in FY24.
The company has declared 89 dividends since 2004.
TCS Services Dividend History (2021—25)
| Mar-21 | Mar-22 | Mar-23 | Mar-24 | Mar-25 | |
| Dividend per share (Adj.) * (Rs) | 38.9 | 43.5 | 116.3 | 73 | 126 |
| Dividend payout ratio (%) | 43.2 | 40.9 | 99.5 | 57.3 | 93.4 |
| Dividend Yield (%) | 1.2 | 1.2 | 3.6 | 1.9 | 3.5 |
Source: Equitymaster
#2 Page Industries
Next on the list is Page Industries.
Page Industries is the exclusive licensee of Jockey International in India, the UAE, Sri Lanka, the Maldives, Bangladesh, and Nepal. It handles both the manufacturing and distribution of the Jockey brand of innerwear and leisurewear for men, women, and kids.
It’s also the exclusive licensee for the manufacturing, marketing, and distribution of the Speedo brand. Products include swimwear, equipment, water shorts, apparel, and footwear.
Jockey is present in 2,713 cities, across 110,826 multi-brand stores, 1,453 exclusive brand outlets (EBOs), 1,216 large-format stores, as well as online.
The company nearly doubled its dividend to 9,000% in FY25 compared to 3,700% a year ago.
In Q4 FY25, Page Industries announced its fourth interim dividend of Rs 200 per share, translating to 2,000% of the stock’s face value of Rs 10.
Earlier in the year, on 8 January 2025, it declared a third interim dividend of Rs 150 per share (1,500%).
Prior to that, the company had announced a second interim dividend of Rs 250 per share (2,500%) on 14 October 2024.
The first dividend for FY25 was declared in July Rs 300 per share, 3,000% of face value.
The company has declared 69 dividends since 2007.
Page Industries’ Dividend History
| Mar-20 | Mar-21 | Mar-22 | Mar-23 | Mar-24 | |
| Dividend per share (Adj.) * (Rs) | 161 | 250 | 370 | 250 | 370 |
| Dividend payout ratio (%) | 52.3 | 81.9 | 76.9 | 48.8 | 72.5 |
| Dividend Yield (%) | 1 | 0.8 | 0.9 | 0.7 | 1.1 |
Source: Equitymaster
#3 Hero MotoCorp
Next on the list is Hero MotoCorp.
Hero MotoCorp, formerly known as Hero Honda, is an Indian motorcycle and scooter manufacturing company. It’s the largest two-wheeler manufacturer in the world. It holds 37% of the share in the two-wheeler category.
For FY25, the board of the company paid a final dividend of 3,250% or Rs 65 per share with a face value of Rs 2 per equity share.
Including the interim dividend of Rs 100 per share, the total dividend for FY25 stands at Rs 165 per share, 8,250%. This was up from 7,000% in FY24.
The company has declared 40 dividends since 2003.
In the last five years, Hero MotoCorp has consistently made dividend payments.
Hero MotoCorp’s Bank’s Dividend History (2020-24)
| Mar-20 | Mar-21 | Mar-22 | Mar-23 | Mar-24 | |
| Dividend per share (Adj.) * (Rs) | 89.9 | 104.9 | 94.9 | 99.9 | 139.9 |
| Dividend payout ratio (%) | 49.1 | 71.4 | 81.5 | 71.4 | 74.8 |
| Dividend Yield (%) | 5.6 | 3.6 | 4.1 | 4.3 | 3 |
Source: Equitymaster
#4 Britannia Industries
Next on the list is Britannia Industries.
Britannia is among India’s leading food companies, part of the Wadia Group. It’s a well-established brand with market leadership in the biscuit segment. It’s also the largest player in the organised bread segment. It’s also present in cakes, rusk, dairy products, and salted snacks.
For FY25, Britannia Industries paid a final dividend of Rs 75 per share on a face value of Re 1, i.e., 7,500% dividend. This was up slightly from 7,350% paid in the previous year.
The company has declared 24 dividends since 2003.
Britannia’s Dividend History (2020-24)
| Mar-20 | Mar-21 | Mar-22 | Mar-23 | Mar-24 | |
| Dividend per share (Adj.) * (Rs) | 34.9 | 157.5 | 56.5 | 72 | 73.5 |
| Dividend payout ratio (%) | 60.4 | 205 | 89.8 | 74.9 | 83 |
| Dividend Yield (%) | 1.3 | 4.3 | 1.8 | 1.7 | 1.5 |
Source: Equitymaster
Conclusion
Big dividend payouts are great—but they’re just one piece of the puzzle.
The top five Nifty 500 companies offering the highest dividends in FY25 have certainly put money back into investors’ pockets.
But chasing yield alone isn’t a sound strategy. A juicy dividend today doesn’t always mean solid performance tomorrow.
It’s just as important to look under the hood. How stable are the earnings? Is the business built for long-term growth?
Investors should look beyond just yields and evaluate whether these companies align with their broader financial goals and risk appetite.
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