- $18.9 billion will paid out this month in the form of dividends to shareholders.
- This is a record and is 16% higher than last year.
- Total dividend payments for the year to June are $81.53 billion, 4.1%.
Shareholders will be paid $18.9 billion this September, the biggest single month for the payment of company dividends in Australian corporate history.
Total dividend payments for the year to June are up 4.1%, or $3.23 billion, to $81.53 billion.
Much of this cash will flow to shareholders in the next two months.
This chart from the Coppo report tells the dividend story:
September 2017 was also the largest month for dividends $16.4 billion but this September is 16% higher at $18.9 billion, as this chart shows:
The top 20 dividend companies are paying $993 million, or 6.4%, more than last year.
The Commonwealth and BHP, the top two payers, are giving their shareholders a combined $6.8 billion:
Telstra, Fortescue and AMP cut their dividends: Telstra was down to 11 cents from 15.5 cents; Fortescue more than halved its, dropping from 25 cents to 12 cents; while AMP’s went from 10 cents down to 4.5 cents.
Analysis by CommSec shows dividends are in vogue with most companies (90%) reporting full-year earnings results choosing to pay a dividend and 90% of those either lifting or maintaining the payout.
CommSec says the August earnings season was impressive.
“Six months ago, when describing the first-half 2018 reporting season we said results had been solid, not spectacular,” says CommSec.
“This reporting season, for companies largely reporting full-year results to June 2018, the macro picture has been almost been a carbon copy.”
Almost 93% of companies reported a profit, just below the 94% record high in February.
Aggregate statutory earnings lifted 8.4% on a year ago.
The percentage of companies issuing a dividend is near record highs, expenses have matched sales, and cash levels are at record highs and up 8.5% on a year ago for all ASX200, half or full-year reporting companies.
Of all companies reporting full year earnings, almost 93% posted a profit, 62% a lift in profit and 38% a decline.
And of those reporting a profit, 60% lifted profits and 40% reported a decline.
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