The Coles Group Ltd (ASX: COL) dividend has been announced for shareholders. It's a good day for shareholders considering the large rise of the Coles share price in response to the FY25 result. It climbed by more than 8% in reaction.
Coles reported growth in underlying terms in FY25.
FY24 had 53 weeks, so when normalised for 52 weeks, the supermarket business reported that total group sales rose 3.6%, underlying operating profit (EBITDA) climbed 10.7%, underlying earnings before interest and tax (EBIT) climbed 6.8%, and underlying net profit rose 3.1%. Statutory net profit on a 52-week basis rose 2.4%.
Statutory revenue rose 1.8% to $44.3 billion, and statutory net profit declined 3.5% to $1.08 billion.
There were a few drivers of supermarket sales, including 5.7% sales growth of products exclusive to Coles, while e-commerce sales increased 24.4%.
The trading update for the first eight weeks of FY26 was very promising. Supermarket sales revenue increased by 4.9%, or 7% excluding tobacco, supported by ongoing strength in the volume of its sales. The near-term looks promising for the supermarket.
How big was the Coles dividend?
Coles said it paid out $925 million of dividends to shareholders in FY25.
The supermarket company's board of directors decided on a final dividend per share of 32 cents, the same as last year's.
This latest payout brought the full-year dividend to 69 cents, representing a 1.5% increase year over year.
According to Coles, the FY25 annual dividend equated to an FY25 dividend payout ratio of 85.4%.
At the current Coles share price, the FY25 final dividend represents a fully franked dividend yield of 1.4% and a grossed-up dividend yield of 2%, including franking credits.
That also means that the FY25 fully franked dividend yield is just over 4%, and the grossed-up dividend yield is 4.4%, including franking credits.
When will this be paid?
Investors who want the Coles dividend need to know about the ex-dividend date first. Interested investors must own Coles shares before this date to be entitled to the payment.
For Coles, the FY25 final dividend of 32 cents has an ex-dividend date of 5 September, so investors have until the end of trading on 4 September to buy Coles shares.
The payment date for the Coles dividend is 22 September, so there's less than a month to wait until the cash hits the bank account.
But shareholders can also elect to receive Coles shares as their dividend payment, rather than cash. Shareholders have until 5pm on 9 September to elect to utilise the dividend reinvestment plan (DRP).
Coles isn't the only business paying out a dividend, following numerous dividend announcements during earnings season.
