The National Australia Bank Ltd (ASX: NAB) share price is having a day to forget on Thursday.
The banking giant's shares were down as much as 8% after posting a half-year result that fell short of expectations for a number of metrics such as earnings and its dividend.
As a reminder, NAB reported a 17% increase in cash earnings to $4,070 million for the six months ended 31 March. While this is certainly strong growth, it was still short of consensus estimates. For example, the market was expecting cash earnings of $4,151 million and Goldman Sachs was forecasting even higher cash profits at $4,227 million.
These softer earnings unfortunately meant that the NAB dividend also fell short of expectations.
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The NAB dividend
For the first half of FY 2023, NAB declared a fully franked interim dividend of 83 cents per share.
Once again, while this was up strongly (13.7%) from the prior corresponding period, it was a touch short of expectations. Goldman was forecasting the NAB interim dividend to come in at 84 cents per share for the half.
Though, it is worth noting that with the NAB share price currently trading at $26.92, the bank's interim dividend still offers a juicy yield of approximately 3.1%.
Want to receive this payout?
If you want to receive the NAB dividend, you will need to ensure that you own the bank's shares when they trade ex-dividend next week on 10 May.
You will then be able to look forward to receiving the cash payout in two months on 5 July. Unless of course you opt to take part in the bank's dividend reinvestment plan. The company explains:
The dividend is paid in cash or as part of a dividend plan. Cash dividends are paid by way of direct credit or cash equivalents. The dividend plans in operation are the Dividend Reinvestment Plan and the Bonus Share Plan (closed to new participants). The last date for receipt of election notices for the Dividend Reinvestment Plan and the Bonus Share Plan is 12 May 2023 at 5pm (Australian Eastern Standard time).
