Bytes Technology Group

Website: Bytes Technology Group
Index: FTSE 250
EPIC: BYIT
Supersector: Technology
Sector: Software and Computer Services
Subsector: Computer Services
Market Cap: £879.5M
Payout Frequency: Semi-Annual

Next Bytes Technology Group Dividend

Bytes Technology Group next goes ex-dividend on 06/11/2025. This will be the Interim dividend for 2025.

The dividend per share amount is 3.20p (GBP) and the payment date is 21/11/2025.

Dividend details

Interim dividend per share: 3.2p (up 3.2% YoY from 3.1p)
Policy: Distribute 40–50% of post-tax, pre-exceptional earnings
Declared payout (not a liability at period end): ~£7.6m on 239,090,507 shares
H1 FY26 basic EPS: 12.03p (down 5.1% YoY); interim DPS covered ~3.8x by H1 EPS

Key dates

Ex-dividend date (UK): 06/11/2025
Record date: 07/11/2025
Payment date: 21/11/2025
(SA register: currency conversion 03 Nov; ex-div 05 Nov; last day to trade cum dividend 04–05 Nov by register)

Coverage, cash and balance sheet support

Cash at 31 Aug 2025: £82.3m; undrawn £30m RCF; no net debt
Free cash flow (H1): £11.4m; cash conversion 34.4% (seasonal), but rolling 12-month cash conversion 104.7%
Large capital returns already paid in H1: £41.0m (final + special FY25)

Structural or policy items relevant to dividends

£25m share repurchase programme announced (15 Aug 2025); ~£2.75m completed by 31 Aug with further purchases expected. Buybacks reduce share count, supporting per-share dividend capacity.
Dividend policy reaffirmed (40–50% payout). Board states confidence in delivering FY outcome within market expectations.
Operational realignment of the corporate sales structure (no change to dividend policy, but transition effects influenced H1 profitability).
Cross-listing (LSE/JSE) leads to separate SA timetable/tax treatment but does not alter UK policy.

Brief analysis: sustainability and growth

Sustainability: Ordinary dividend appears well supported by cash resources, undrawn facilities, and high rolling cash conversion. H1 cash conversion was seasonally weak, but the 12-month metric >100% and strong net cash provide headroom.
Growth trajectory: DPS up 3.2% YoY is modest but sensible given H1 EPS fell 5.1% and operating profit declined 7.0%. Management guides to FY results within expectations; services growth and CSP mix shift should underpin medium-term earnings and DPS growth.
Coverage: Interim DPS is covered ~3.8x by H1 EPS, aligning with the 40–50% payout policy on a full-year basis. Share buybacks should modestly bolster per-share metrics and dividend capacity.
Capital allocation: The combination of ordinary dividends, occasional specials (FY25) and the new £25m buyback signals confidence and disciplined returns, without stressing the balance sheet.

Risks and flags to dividend stability

Vendor incentive changes (Microsoft) continue to pressure margins (GP/GII down to 6.1% from 6.7%); mitigation via higher-margin services is progressing but execution risk remains.
Working capital seasonality drove lower H1 cash conversion; sustained slippage in debtor days would be a watchpoint, though rolling 12-month conversion remains strong.
Vendor concentration (notably Microsoft) and margin pressure are identified principal risks; any adverse shifts could weigh on profit growth and dividend progression.
Macro/geopolitical uncertainty could affect demand and renewals; however, diversified customer base and resilient cash generation partly mitigate.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
10/07/2025	25/07/2025	Special	10.00p	GBX
10/07/2025	25/07/2025	Final	6.90p	GBX
06/11/2025	21/11/2025	Interim	3.20p	GBX

Total (Annual Dividends Per Share): 20.10p

Dividend Yield = Annual Dividends Per Share (20.10p) ÷ Share Price (369.8p) = 5.44%

Ex Dividend Date	Payment Date	Type	Amount	Currency
06/11/2025	21/11/2025	Interim	3.20p	GBX
10/07/2025	25/07/2025	Special	10.00p	GBX
10/07/2025	25/07/2025	Final	6.90p	GBX
07/11/2024	22/11/2024	Interim	3.10p	GBX
18/07/2024	02/08/2024	Special	8.70p	GBX
18/07/2024	02/08/2024	Final	6.00p	GBX
16/11/2023	01/12/2023	Interim	2.70p	GBX
20/07/2023	04/08/2023	Special	7.50p	GBX
20/07/2023	04/08/2023	Final	5.10p	GBX
17/11/2022	02/12/2022	Interim	2.40p	GBX
28/07/2022	12/08/2022	Special	6.20p	GBX
28/07/2022	12/08/2022	Final	4.20p	GBX
18/11/2021	03/12/2021	Interim	2.00p	GBX
18/11/2021	03/12/2021	Q2	2.00

Year	Interim	Final	Special	Currency	Total	Change (%)
2024	3.100	6.000	8.700	GBX	17.800	16.33
2023	2.700	5.100	7.500	GBX	15.300	19.53
2022	2.400	4.200	6.200	GBX	12.800	220.00
2021	2.000				4.000

Number of Shares:

Payment	Paid	Amount
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