Sep 25, 2017 Last Updated 2:27 PM, Sep 22, 2017

New Entry From the Editor :

Rio Tinto commits further $3.15 billion to shareholders in buyback programme

Rio Tinto commits further $3.1…

AusBN - Rio Tinto has announced it will distribute a further AUS$3.15 billi...

BHP surges back to profit thanks to increased prices and improved productivity

BHP surges back to profit than…

AusBN- BHP demonstrated a strong financial performance for the last fiscal ...

Toys R Us to trade as usual in Australia despite filing for bankruptcy

Toys R Us to trade as usual in…

AusBN - Toys R Us has confirmed it will continue to operate as normal in Au...

$22 billion in dividends heading to shareholders

business strategyAusBNAusBN - Shareholders are set to be paid more than AUS$22 billion in dividends from March to July, a figure which underlines the growing strength of Australian corporate firms. 

The $22 billion dividends figure is up from the $19 billion paid out in the same period during last year, according to market research company CommSec.

CommSec's chief economist Craig James said: “The bottom line is that Australian companies are in good shape - they're reporting profits and determining they want to reward shareholders."

Furthermore, AMP Capital’s chief economist and head of investment strategy Shane Oliver added that increased dividends should driver consumer spending.

"The Australian share market is one share market that pays pretty good dividends, at the moment the dividend yield on shares is about 4.5% and, including the franking credit, its pushing up to 6%,” he said.

"There's very few share markets around the world that pay such high dividends and there's no doubt that does support spending in the economy, particularly in an environment where bank deposit rates are so low."

@AusBNOnline

This Month's Issue

AusBN Vol3 Iss1

Subscribe

rgn web banner

abn web banner