Valiant Communications has issued detailed communications to shareholders regarding the Tax Deducted at Source (TDS) implications of its proposed final dividend of ₹1.50 per equity share of face value ₹10 each (15%) for the financial year ended March 31, 2026. The Board of Directors recommended this payout during its meeting on May 30, 2026, subject to shareholder approval at the Thirty-Third Annual General Meeting (AGM) scheduled for September 30, 2026.

The company clarified that dividend income is taxable in the hands of shareholders under the Income Tax Act, 2025. Consequently, Valiant Communications will deduct taxes at source at applicable rates before disbursing the dividend. The TDS rate varies based on the shareholder's residential status and the validity of their Permanent Account Number (PAN). For resident individual shareholders, TDS will be deducted at 10% if the aggregate dividend exceeds ₹10,000, unless they submit a valid declaration under Section 393(6). Failure to link PAN with Aadhaar or providing an invalid PAN will result in a higher TDS rate of 20% under Section 397(2).

Dividend Eligibility and Record Date

The record date for determining dividend entitlement is fixed as Thursday, September 10, 2026. Shareholders must hold shares as of the close of business hours on this date to be eligible. Eligibility criteria are distinct for physical and demat holdings:

• Physical Shares: Payable to members whose names appear in the Register of Members as at the close of business hours on September 10, 2026.
• Demat Shares: Payable to members whose names appear in the list of beneficial owners as at the close of business hours on September 10, 2026, based on data from depositories.

Action Required for Shareholders

To ensure seamless receipt of dividends and participation in e-voting, shareholders are advised to update their details by Tuesday, September 8, 2026. This deadline is critical for both KYC compliance and tax document submission.

Pursuant to SEBI mandates effective April 1, 2024, dividends for physical folios will be paid electronically only if the folio is KYC compliant. Payment through demand drafts has been discontinued.

Tax Exemptions and Documentation

Shareholders eligible for lower withholding tax or exemption must submit specific documents by September 8, 2026, up to 5:00 pm IST. Resident individuals can submit Form 121 electronically through NSDL or CDSL portals or via the company’s shareholder portal. Non-resident shareholders must provide a Tax Residency Certificate, Form 41, and other self-declarations to avail benefits under Double Tax Avoidance Agreements (DTAA).

For institutional shareholders such as Insurance Companies, Mutual Funds, and Alternate Investment Funds (AIFs), specific declarations confirming their exempt status under the Income Tax Act, 2025, are required. Joint shareholders must also submit a declaration detailing beneficial ownership to ensure TDS credit is allocated correctly.

The company emphasized that any communication received after the deadline will not be considered for tax determination. If tax is deducted at a higher rate due to missing documents, shareholders may claim a refund while filing their income tax returns, but no claim shall lie against the company for such deductions.

Valiant Communications Limited reported a significant improvement in profitability for the first quarter of FY27, with consolidated net profit rising 65% year-on-year to ₹7.79 crore. The telecom infrastructure provider saw its total income from operations expand by 39% to ₹25.42 crore, up from ₹18.32 crore in Q1FY26.

The company’s standalone figures also reflected this upward trajectory. Standalone net profit after tax reached ₹8.08 crore, compared to ₹4.46 crore in the same quarter last year. Standalone revenue grew to ₹25.14 crore from ₹18.12 crore previously, indicating broad-based growth across the group structure.

Financial Performance

The Board of Directors approved the unaudited financial results in a meeting held on August 12, 2026. The results were filed with stock exchanges pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

For the full fiscal year ended March 31, 2026, the company reported consolidated revenue of ₹84.87 crore and a net profit of ₹24.18 crore. Basic earnings per share (EPS) for the quarter stood at ₹6.72, up from ₹4.13 in Q1FY26.

What the Numbers Show

The divergence between standalone and consolidated profits warrants attention. While standalone net profit grew by approximately 81% to ₹8.08 crore, consolidated net profit rose by 65% to ₹7.79 crore. This suggests that while the parent entity delivered strong operational efficiency, certain subsidiaries or associates may have contributed less proportionally to the bottom line growth compared to the top-line expansion. The near-parity between standalone and consolidated revenue (₹25.14 crore vs ₹25.42 crore) indicates that the majority of the company’s income is generated directly by the holding company rather than through subsidiaries.