Of all the reports we saw from the blue-chip stocks of the S&P/ASX 200 Index (ASX: XJO) over the August earnings season, CSL Ltd (ASX: CSL) was arguably one of the more disappointing — despite the ASX 200 healthcare giant revealing a record dividend.
Many prominent ASX shares, including Commonwealth Bank of Australia (ASX: CBA) and Telstra Group Ltd (ASX: TLS), saw their share prices rise following their earnings.
However, investors hit the sell button after CSL's full-year report covering the 2024 financial year was released on 13 August.
As we covered at the time, this was despite the company revealing some objectively pleasing numbers. For the 12 months to 30 June, the healthcare stock announced that its revenues came in at US$14.8 billion, a rise of 11% over what was reported for FY2023. Net profit after tax before amortisation rose 11% to US$2.91 billion. Net profits in constant currency terms rose by 15% to US$3.01 billion.
CSL even guided that it was expecting a further growth rate of 10% to 13% for the 2025 financial year.
However, no one could arguably fault what CSL announced when it came to dividend income.
The company told investors to expect a final (but unfranked) dividend of US$1.45 per share. That amount is a healthy rise over last year's final dividend of US$1.29 per share and an even bigger boost from April's interim dividend of US$1.19 per share.
How to secure CSL's record final dividend
This latest dividend also represents the largest single payout that CSL has ever announced, a new record for the company. Bear in mind that CSL will only determine the final value of this dividend in Australian dollar terms on 10 September. But at current exchange rates, it would likely come in at around $2.16 per share.
If investors wish to see this dividend arrive in their bank accounts, time is running out, though.
CSL has selected next Monday, 9 September, as the ex-dividend date for its latest shareholder payment. That means anyone who doesn't yet own CSL shares but wants to receive this dividend will need to make a purchase before the close of trading tomorrow, 6 September.
If an investor waits until Monday's session to buy CSL shares, they will leave the rights to receive this dividend behind with the seller. So expect to see a drop in the CSL share price on Monday, reflecting this loss of value for new investors going forward from then.
For eligible investors, dividend payday will then occur on 2 October next month. Since there's no dividend reinvestment plan (DRP) in place for this dividend, investors have no option but to receive the traditional cash payment.
At the current CSL share price of $301.70, this ASX 200 healthcare stock is trading on a dividend yield of 0.93%.
