The Westpac Banking Corp (ASX: WBC) share price appears to be off to the right start this week after the bank upped its interim dividend.
The second largest 'big four' bank increased its half-yearly payment despite reporting that its cash earnings slipped over the first half of financial year 2022 this morning.
It brought in around $3 billion of cash earnings last half – a 12% drop on that of the prior comparable period. Its revenue also slumped 8% to approximately $10 billion.
At the time of writing, the Westpac share price is $24.37, 2.27% higher than its previous close.
So, what do investors need to know about the S&P/ASX 200 Index (ASX: XJO) bank's latest dividend? Let's take a look.
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All the details on Westpac's latest dividend
The Westpac share price is in the green after the bank upped its interim dividend to 61 cents per share.
The dividend is fully franked and represents a payout ratio of 69%.
Additionally, considering Westpac's previous closing price, the bank is now trading with a 5% dividend yield.
Interested market watchers have until 19 May to acquire the bank's stock or miss out on receiving the banking giant's upcoming dividend. That's the day the stock will trade ex-dividend.
The dividend will reach investors' bank accounts from 24 June.
The interim dividend announced today is the bank's biggest payout since the onset of COVID-19.
It's 1 cent more than Westpac's final dividend for financial year 2021. It's also 3 cents more than Westpac's previous interim dividend.
Westpac shareholders also have the option of receiving new shares in the bank instead of a cash dividend.
That option is offered through the bank's dividend reinvestment plan. Shareholders have until 23 May to opt into the plan.
The Westpac share price has gained 12% since the start of 2022. Meanwhile, the ASX 200 has slumped nearly 6%.
