Qantas Airways Ltd (ASX: QAN) shares are moving higher on Thursday after the airline released its FY26 results.
At the time of writing, the Qantas share price is up 2.71% to $9.47.
The result was a mixed one, with revenue rising but profit falling as the Middle East war pushed fuel costs higher.
For income investors, though, one part of the result that may stand out is the latest dividend.
So, how much will Qantas shareholders receive?
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Qantas delivers another fully-franked dividend
Qantas has declared a fully-franked final dividend of 19.8 cents per share, with around $300 million set to be returned to shareholders.
This matches the 19.8 cent interim dividend paid earlier this year and takes the company's FY26 base dividends to 39.6 cents per share.
That's 20% higher than the 33 cents in base dividends paid in FY25.
However, shareholders also received a 19.8-cent special dividend last year, which took the total FY25 payout to 52.8 cents per share.
At the current Qantas share price of $9.47, the FY26 base payout represents a trailing dividend yield of around 4.2% before franking credits.
When will Qantas pay its dividend?
Qantas shares are scheduled to trade ex-dividend on 15 September, with the record date falling on 16 September.
The airline will then pay the final dividend on 14 October.
The dividend will be fully franked, giving eligible investors the added benefit of attached franking credits.
There was also an update on Qantas' capital returns, with the airline deciding not to go ahead with the additional $150 million on-market share buyback it announced in February.
Management said fuel volatility linked to the Middle East war no longer supported keeping the buyback open.
What did Qantas report?
Qantas reported FY26 revenue and other income of $25.52 billion, up 7.1% from the previous year.
Underlying profit before tax fell 13.8% to $2.06 billion, while statutory profit after tax declined 19.7% to $1.29 billion.
The airline said the Middle East conflict had a $420 million net impact on earnings, with its fuel bill increasing by around $610 million.
Qantas International was hit particularly hard, although its loyalty division was a stronger part of the result. This segment achieved underlying EBIT rising 12% to $625 million.
What next?
The higher base dividend gives shareholders something positive to take from the result, particularly with the payment fully franked.
However, investors will also need to weigh this against lower earnings and the decision to cancel the planned buyback.
Qantas said travel demand remains resilient heading into FY27, while domestic and international unit revenue is expected to improve in the first half.
Fuel costs are expected to stay elevated, so investors will be watching to see if stronger revenue can help offset some of those higher costs.
