CSL Limited has announced an unfranked ordinary dividend of USD 1.62 per share for the first half of 2025, with payments scheduled in multiple currencies depending on shareholder location.
- USD 1.62 per share ordinary dividend declared
- Dividend unfranked and relates to H1 2025
- Payment date set for 3 October 2025
- Dividend paid in USD, AUD, or NZD based on shareholder address
- Dividend Reinvestment Plan not applicable for this distribution
CSL's Dividend Announcement
CSL Limited, a leading player in the biotechnology sector, has declared an ordinary dividend of USD 1.62 per fully paid ordinary share for the six-month period ending 30 June 2025. This announcement, made on 19 August 2025, sets the payment date for 3 October 2025, with the record date fixed at 10 September 2025 and an ex-dividend date of 9 September 2025.
Unfranked Dividend and Currency Details
Notably, the dividend is unfranked, meaning it does not carry any Australian franking credits. This is an important detail for investors considering the tax implications of their dividend income. The dividend will be paid primarily in US dollars, reflecting CSL's global shareholder base and international operations.
However, CSL has outlined a nuanced currency payment arrangement – shareholders with Australian registered addresses will receive their dividends in Australian dollars, those in New Zealand will be paid in New Zealand dollars, and US-based shareholders will receive payments in US dollars. For all other shareholders, payments will default to Australian dollars. The exact exchange rates for these currency conversions will be published on 12 September 2025, introducing some variability in the final amounts received by non-USD shareholders.
Dividend Reinvestment Plan Not Applicable
While CSL maintains a Dividend Reinvestment Plan (DRP), it has confirmed that this plan will not apply to the current dividend distribution. This means shareholders will receive their dividends as cash payments rather than having the option to reinvest dividends into additional shares at this time.
Implications for Investors
For investors, this dividend announcement provides a clear income signal for the half-year period, but the unfranked nature and currency payment arrangements add layers of complexity. International shareholders, in particular, will need to consider currency risk and timing when evaluating their expected returns. The forthcoming release of currency exchange rates will be a key data point for assessing the precise value of dividends in local currency terms.
Bottom Line?
CSL’s dividend payment underscores its global reach but leaves currency conversion details to watch closely.
Questions in the middle?
- What will be the exact AUD and NZD equivalent dividend amounts once exchange rates are published?
- How might the unfranked status of the dividend affect investor tax liabilities across different jurisdictions?
- Will CSL’s Dividend Reinvestment Plan be reactivated for future dividends, or is this a strategic shift?