Magellan Financial Group Limited’s (ASX: MFG) shares climbed up 15.99 per cent on August 09, 2018 following the release of full-year results wherein revenue grew by 34 percent to $452.6 million in FY18 as compared to the last year. Profit after tax after MGG net offer costs and amortization increased by 8% and amounted to $211.8 Mn in FY18 against the prior year. As a result, diluted EPS stood at 122 cents per share, marked a decent growth of 7% on Y-o-Y basis. Based on the robust performance of the company, the Board has revised its dividend policy and increased the payout ratio in the range of 90-95% of the funds management business net profit after tax from the previous payout of between 75% and 80%.
This indicates around a 20% rise in the dividend payout ratio as compared to previous payout ratio range. This revised dividend policy came after the board review of its ongoing capital requirements of the Group as the Board found strong balance sheet position with sustainable cash flows which are enough to support the business and its numerous organic growth opportunities going forward. However, the Board of Director declared the fully franked Final Dividend and Performance Fee Dividend of 90.0 cents per share and it will be payable on August 27, 2018.
FUM at 30 June 2018 was $69.5 billion and this was up by 37.4 per cent from the 30 June 2017 FUM of $50.6 billion. Magellan Financial Group Limited traded at a market price of $28 with the market capitalization of circa $4.2 Bn (AEST: 03:00 P.M.).
The Income available from dividends remains attractive for many investors.
We take a look at the best yields on the market and assess what they say about a company’s prospect.
One Thing is certain, though, Australia interest rates are still low, making income difficult to come by and keeping the focus for many investors on high yielding stocks. Kalkine’s team of analysts bought you handpicked report for “Top 25 Dividend Stocks For 2018.”
ASX-relevant Special Reports are published year-round to provide a detailed analysis into an investing opportunity or a potential risk to your portfolio.
Click here to get your free report.
The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkinemedia.com and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.
There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.
Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.
As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.