Westpac's bumper dividend payout
- {{x.value}}
{{ twilioFailed ? 'SMS Code Failed to Send…' : 'Enter verification code' }}
{{ completedStep1 ? 'Authentication & Security' : content.trialHeading.replace('{0}', user.FirstName) }}
{{ content.upgradeHeading.replace('{0}', user.FirstName) }}
The email address you entered is registered with InvestSMART
Please login to continue
We have sent you an email with the details of your registration.
Looks you are already a member. Please enter your password to proceed
{{ upgradeCTAText }}
Updating information
Please wait ...
Your membership to InvestSMART Group recently failed to renew.
Please make sure your payment details are up to date to continue your membership.
Having trouble renewing?
Please contact Member Services on support@investsmart.com.au or 1300 880 160
You've recently updated your payment details.
It may take a few minutes to update your subscription details, during this time you will not be able to view locked content.
If you are still having trouble viewing content after 10 minutes, try logging out of your account and logging back in.
Still having trouble viewing content?
Please contact Member Services on support@investsmart.com.au or 1300 880 160
Please click on the ACTIVATE button to activate your Intelligent Investor 15-day free trial
Please click on the ACTIVATE button to finalise your membership
Unsuccessful registration
Registration for this event is available only to Eureka Report members. View our membership page for more information.
Registration for this event is available only to Intelligent Investor members. View our membership page for more information.
- You are already registered for this event.
- This event is already full.
- Please select a quantity for at least one ticket.
- {{ i }}
Forgotten password
Please enter your email address below to request a new password
- Verify your email address by clicking on the link we sent to {{user.Email}}
- You now have free access, we look forward to helping you on your financial journey.
Westpac will have distributed 85% of FY13 cash profit to shareholders in the form of dividends this year, up from 77% last year, due in part to a special dividend of 10 cents per share announced earlier this week.
The decision to go ahead with a special dividend comes just days after the Australian Prudential Regulation Authority cautioned banks to limit dividend payouts to shareholders. It is also the second special dividend Westpac has announced this year. In May, shareholders were rewarded with a 10 cent per share special dividend in addition to the interim dividend of 86 cents per share.
All up, Westpac will have paid out dividends of $1.94 per share, fully franked for FY13.
"A 10 cent special dividend would amount to about 10 basis points of capital…we've plenty of head-room to absorb the Lloyds acquisition and still remain comfortably above our target range and be comfortably ahead of our peers," chief executive Gail Kelly reportedly said at an investor briefing yesterday.
The group’s common equity tier-one ratio is currently the highest among the big four banks, at 9.1%, and above its preferred range of 8-8.5%.
Earlier this week Eureka Report’s Cliona O’Dowd took a closer look at the ongoing hunt for yield, see Overdosing on yield stocks.