16th May 2019 08:12
LONDON (Alliance News) - Lloyds Banking Group PLC said Thursday, starting from 2020, it will be moving to quarterly dividend payments.
The first quarterly dividend payment, for the first three months of 2020, will be paid in June 2020.
The revised policy will see three equal interim dividend payments for the first three quarters followed by a larger final dividend in the fourth quarter, subject to performance.
The first three quarterly payments will be 20% of the previous year's total dividend. The fourth dividend payment will be announced with the lender's full year results. Lloyds said the amount will reflect its financial performance and "objective of progressing a sustainable ordinary dividend".
The bank said the new method will provide a "more regular flow" of dividend income for shareholders.
Lloyds added it will "continue to give consideration to the distribution of surplus capital at the end of each year".
In 2018, Lloyds paid a total dividend of 3.21 pence but also announced it will embark on a GBP1.75 billion share buyback in 2019.
The GBP4 billion total capital return for 2018 was a 25% increase on the GBP3.2 billion returned in 2017.
Shares in Lloyds were down 0.5% in early trade Thursday at 60.77 pence each.
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