It won't be long until the next ANZ Group Holdings Ltd (ASX: ANZ) dividend is paid to shareholders.
But you will have to act fast if you want to receive it on payday next month, that's because the bank's shares will be going ex-dividend on Thursday.
When this happens, the rights to the dividend are settled and new buyers will not be entitled to receive it.
In light of this, you will need to be on ANZ's share register at the close of play today if you want in on the dividend party.
The ANZ dividend
Earlier this week, ANZ released its FY 2023 results. It reported a 5% increase in operating income to $20,459 million and a 14% lift in cash earnings to a record of $7,405 million.
The key driver of this growth was its Institutional business, which posted a 53% jump in cash profit to $2,963 million. This was supported by a modest increase in New Zealand earnings to $1,552 million, offsetting softer earnings from the Australia Retail and Australia Commercial divisions.
This ultimately allowed the ANZ board to declare a 94 cents per share final dividend, bringing its full-year dividend to 175 cents per share. While this is up 20% on the prior corresponding period, that increase is a touch misleading.
Part of the reason for the big dividend increase was the company's franking. ANZ's final dividend comprises an 81 cents per share dividend partially franked at 65% and an additional one-off unfranked dividend of 13 cents per share.
Management highlights that this level of franking reflects the geographically diverse nature of its business, as well as the timing of the proposed Suncorp Bank transaction. And to comfort the franking blow, its board agreed that a one-off unfranked dividend was appropriate.
When is payday?
If you're an eligible shareholder, you can look forward to receiving this ANZ dividend next month.
It is currently scheduled to be paid just before Christmas on 22 December. Based on the current ANZ share price, it represents an attractive 3.75% dividend yield.
