BHP Group Limited has announced a fully franked dividend of USD 0.60 per share for the first half of 2025, offering shareholders multiple currency payment options and a Dividend Reinvestment Plan.
- USD 0.60 per share fully franked dividend for six months ending June 30, 2025
- Dividend payable on September 25, 2025, with ex-date September 4 and record date September 5
- Dividend payable in USD, AUD, GBP, NZD, and ZAR with currency election available
- Dividend Reinvestment Plan (DRP) offered with no discount, shares purchased on-market
- AUD equivalent dividend and exchange rates to be confirmed on September 8, 2025
BHP’s Dividend Announcement
BHP Group Limited has declared an ordinary dividend of USD 0.60 per share for the six-month period ending June 30, 2025. This dividend is fully franked, reflecting the company’s strong tax position and commitment to returning value to shareholders. The dividend will be paid on September 25, 2025, with an ex-dividend date of September 4 and a record date of September 5.
Multi-Currency Payment Flexibility
In a nod to its global shareholder base, BHP is offering dividend payments in multiple currencies including US dollars, Australian dollars, British pounds, New Zealand dollars, and South African rand. Shareholders can elect their preferred currency by September 8, 2025, allowing for tailored payment options that reduce currency risk and administrative complexity. Those who do not provide currency election details will receive their dividends in Australian dollars by cheque.
Dividend Reinvestment Plan Details
BHP continues to offer a Dividend Reinvestment Plan (DRP) for this dividend, enabling shareholders to reinvest their dividends into additional shares without a discount. Shares under the DRP will be purchased on-market shortly after the dividend payment date, with the reinvestment price calculated as the average of actual market transactions. Notably, there is no minimum or maximum participation limit, and the default option for shareholders who do not elect participation is to receive the dividend in cash.
Currency Exchange Rate Disclosure
The Australian dollar equivalent of the dividend and the applicable exchange rates for non-USD payments will be announced on September 8, 2025. This timing introduces some uncertainty for shareholders paid in currencies other than USD, as exchange rate fluctuations could affect the final dividend amount received. BHP uses benchmark rates published by central banks to determine these conversions.
Implications for Investors
This dividend announcement underscores BHP’s steady cash flow generation and shareholder-friendly capital management. The fully franked nature of the dividend is particularly attractive for Australian investors seeking tax-effective income. Meanwhile, the multi-currency payment and DRP options provide flexibility that may appeal to BHP’s diverse global investor base. Market participants will be watching closely how the share price responds around the ex-dividend date and the uptake of the DRP.
Bottom Line?
BHP’s steady dividend and flexible payment options set the stage for investor confidence as currency rates and market reactions unfold.
Questions in the middle?
- How will currency fluctuations impact the final dividend amounts received by shareholders outside the US?
- What level of participation will BHP see in the Dividend Reinvestment Plan this cycle?
- Could the absence of a DRP discount influence shareholder preference for cash versus reinvestment?