HUB24 Declares Fully Franked AUD 0.24 Dividend for H1 2024

Dividend Announcement Overview

HUB24 Limited (ASX: HUB), a key player in the Australian investment platforms sector, has declared an ordinary dividend of AUD 0.24 per fully paid ordinary share. This dividend is fully franked, reflecting the company’s ability to distribute profits with attached franking credits at the prevailing corporate tax rate of 30%. The dividend relates to the six-month financial period ending December 31, 2024.

Key Dates and Payment Details

The ex-dividend date is set for March 17, 2025, meaning investors must hold shares before this date to be eligible for the dividend. The record date follows on March 18, 2025, with the payment scheduled for April 15, 2025. These dates align with standard market practice, providing clarity for shareholders and potential investors.

Implications of a Fully Franked Dividend

The full franking of the dividend is a positive signal, indicating HUB24’s strong tax position and profitability. Fully franked dividends allow Australian shareholders to claim a credit for tax already paid by the company, enhancing the effective yield of the dividend. This can be particularly attractive to income-focused investors seeking tax-efficient returns.

Context Within HUB24’s Financial Strategy

While the announcement does not include commentary on earnings or future guidance, the decision to maintain a fully franked dividend suggests confidence in ongoing cash flow generation and earnings stability. HUB24’s dividend policy appears consistent with rewarding shareholders while balancing reinvestment needs in its financial services platform business.

Looking Ahead

Investors will be watching closely for HUB24’s upcoming full-year results and any updates on dividend policy changes. The current dividend sets a benchmark for shareholder returns and may influence market sentiment around the company’s financial health and growth prospects.