Cochlear Limited has updated its dividend details, confirming a fully franked ordinary dividend of AUD 2.15 per share for the first half of 2025, with payments available in multiple currencies based on shareholder location.
- Ordinary dividend of AUD 2.15 per share for six months ending 30 June 2025
- Dividend is 85% franked, reflecting strong tax credit backing
- Payment date set for 13 October 2025
- Dividend payable in AUD, GBP, NZD, and USD depending on shareholder address
- Exchange rates fixed as of 19 September 2025 for foreign currency payments
Dividend Confirmation and Details
Cochlear Limited, a leader in medical device technology, has reaffirmed its commitment to returning value to shareholders with the confirmation of an ordinary dividend of AUD 2.15 per share for the six-month period ending 30 June 2025. This dividend is notably 85% franked, indicating a substantial portion of the dividend carries Australian tax credits, which can be advantageous for investors seeking tax-efficient income.
Multi-Currency Payment Arrangements
In a move reflecting its global shareholder base, Cochlear has outlined a multi-currency dividend payment structure. Shareholders will receive dividends in Australian Dollars (AUD), British Pounds (GBP), New Zealand Dollars (NZD), or US Dollars (USD), depending on their registered address. This approach simplifies the process for international investors, reducing currency conversion costs and exposure.
The exchange rates for these foreign currency payments were locked in as of 19 September 2025, with payments scheduled for release on 13 October 2025. For example, the NZD equivalent is set at approximately 2.4164 per share, while GBP and USD equivalents stand at 1.0498 and 1.4222 respectively, based on the AUD reference rate.
No Securities Plan or Additional Tax Components
Cochlear has confirmed there is no securities plan associated with this dividend, and no additional tax components beyond the franking credits have been disclosed. This clarity helps investors understand the straightforward nature of the dividend payment without complex tax implications or reinvestment schemes.
Market and Shareholder Implications
The update to the currency information, while not altering the dividend amount, provides important transparency for shareholders, especially those outside Australia. It also signals Cochlear’s attentiveness to shareholder convenience and currency risk management. Investors will be watching the dividend payment date closely to assess the impact of currency fluctuations and the company’s ongoing financial health.
Bottom Line?
As Cochlear prepares to distribute its dividend globally, investors will be keen to see how currency dynamics and market conditions influence returns.
Questions in the middle?
- Will currency fluctuations between announcement and payment affect shareholder returns?
- How might Cochlear’s dividend policy evolve amid changing global economic conditions?
- What impact will the 85% franking level have on different classes of investors?