Bendigo and Adelaide Bank Declares Fully Franked AUD 0.30 Dividend

Dividend Announcement Overview

Bendigo and Adelaide Bank Limited (ASX: BEN) has declared an ordinary dividend of AUD 0.30 per share, fully franked at the 30% corporate tax rate. This dividend covers the six-month financial period ending 31 December 2024, continuing the bank's consistent approach to returning value to shareholders.

The ex-dividend date is set for 26 February 2025, with the record date following on 27 February 2025. Shareholders on the register as of the record date will be eligible for the dividend payment scheduled for 31 March 2025.

Franking and Tax Implications

Importantly, the dividend is fully franked, meaning shareholders receive a credit for the tax already paid by the company at the corporate rate of 30%. This full franking enhances the after-tax return for Australian resident investors and underscores the bank’s solid profitability and tax compliance.

Dividend Reinvestment Plan Details

Bendigo and Adelaide Bank also offers a Dividend Reinvestment Plan (DRP) for this dividend, allowing shareholders to reinvest their dividends into additional shares without a discount. The DRP election deadline is 28 February 2025 at 4:00 pm, with the reinvestment price calculated as the arithmetic average of the daily volume weighted average price of BEN shares traded on the ASX from 5 March to 18 March 2025.

The DRP shares will not be newly issued but allocated from existing shares, and there are no minimum or maximum participation limits, making it accessible for all shareholders wishing to compound their investment.

Context and Market Implications

This dividend announcement aligns with Bendigo and Adelaide Bank’s steady financial performance amid a competitive banking environment. The fully franked dividend signals confidence in ongoing earnings and capital strength, reassuring investors of the bank’s commitment to shareholder returns despite broader economic uncertainties.

Investors will be watching how the stock performs in the lead-up to the ex-dividend date and how the DRP uptake influences share demand. Given the absence of a DRP discount, participation may hinge on shareholders’ long-term confidence in the bank’s growth prospects.