The Argo Investments Ltd (ASX: ARG) share price is in focus today after the company delivered a full-year profit of $260.2 million, nudging up from last year, and announced a record fully franked annual dividend of 38.5 cents per share.
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What did Argo Investments report?
- Full-year net profit: $260.2 million, up from $259.8 million last year
- Fully franked annual dividend: 38.5 cents per share, a record high
- Dividend yield: 6.0% (grossed-up, including franking)
- Net Tangible Asset (NTA) return after costs: +8.7% (vs ASX 200 Index +6.1%)
- Management Expense Ratio: 0.14%
- NTA per share at year end: $10.84 (record high)
What else do investors need to know?
Argo's board announced the move to quarterly dividend payments starting January 2027, aiming to offer shareholders more frequent income. Four fully franked dividends totalling 40 cents per share are planned for calendar year 2027, continuing the company's track record of growing income.
Argo's portfolio outperformed the broader market, with notable gains from holdings in Rio Tinto, Macquarie Group, and Lynas Rare Earths. The company made several new investments during the year and grew its portfolio to 86 holdings.
Management highlighted continued share buybacks and measures to reduce the share price discount to NTA, reinforcing Argo's shareholder-focused approach.
What's next for Argo Investments?
Argo expects ongoing market volatility, particularly during the upcoming corporate reporting season and amid global economic uncertainties. Management remains focused on narrowing the share price discount to NTA, with continued on-market buying if needed.
The company's strategy centres on maintaining a diversified, conservative portfolio, delivering consistent, growing income, and keeping operating costs low for shareholders.
Argo Investments share price snapshot
Over the past year, Argo Investments shares have unperformed the broader S&P/ASX 200 Index (ASX: XJO) with a decline of around 2.5%.
