Everything you need to know about the latest AGL dividend

The AGL Energy Limited (ASX: AGL) share price is sliding on Friday following news of the company’s financial year 2022 earnings and final dividend.

As The Motley Fool Australia reported earlier, the energy producer and retailer has offered shareholders a 10-cent unfranked dividend for the six months ended 30 June.

Right now, the AGL share price is 2.3% lower than its previous close, with stock in the S&P/ASX 200 Index (ASX: XJO) utilities giant swapping hands for $7.97 apiece.

Let’s dive into the company’s full-year earnings and all investors need to know about its latest dividend.

AGL share price falls alongside dividends

The AGL share price is suffering on Friday after the company posted a 10-cent dividend – more than 70% less than it offered at the end of financial year 2021.

The energy company revealed its statutory profit reached $860 million for the 12 months ended 30 June – up from a $2 billion loss. Though, its underlying profit slumped 58% year-on-year to come in at $225 million.

It also saw its underlying earnings before interest, tax, depreciation, and amortisation (EBITDA) slump 27% to $1.2 billion.  

On the back of such earnings, the company posted its lowest regular dividend since it listed on the ASX. That sees its full-year payout come to 26 cents, marking a 65% drop year-on-year and representing a payout ratio of 75%.

The company handed investors 75 cents in dividends in financial year 2021, including a 10-cent special dividend. That itself represented a 23.5% drop on those of financial year 2020.

However, as The Motley Fool Australia reported earlier this week, many brokers were tipping AGL to pay a single-digit final dividend for last fiscal year. Thus, it’s likely brought a positive surprise for some.

The company has also scrapped its dividend reinvestment plan (DRP) this time around, given the status of its review into its strategic direction. It intends to reinstate the DRP when circumstances allow.

AGL shares will trade ex-dividend on 1 September and its latest offering will begin to hit investors’ accounts on 27 September.

The post Everything you need to know about the latest AGL dividend appeared first on The Motley Fool Australia.

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More reading

• AGL share price dips after 58% profit slash
• Earnings preview: Here’s which ASX shares are reporting today
• Hoping to pounce on AGL shares? Here’s what to watch when the energy giant reports this week
• Guess how much AGL has paid in dividends over the past 5 years?
• AGL share price down amid Fortescue Future Industries hydrogen hub news

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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