You may be wondering why the Whitehaven Coal Ltd (ASX: WHC) share price is tumbling 2.84% to $7.78 today.
With the earning seasons wrapped up for most of the companies on the ASX, Whitehaven is now trading ex-dividend.
This comes after the coal producer delivered a robust full-year result last month, reporting a record $1.95 billion profit.
Subsequently, the board opted to declare a mammoth fully franked dividend of 40 cents per share.
Below, we take a closer look at Whitehaven's latest dividend and when shareholders can expect payment.
Image source: Getty Images
Shareholders lock in Whitehaven's huge final dividend
Following the company's record performance, investors are selling off Whitehaven shares after securing the final dividend.
If you bought the company's shares before market close yesterday and held onto them until this morning, you'll be eligible for the dividend.
On 16 September, you should check your bank account as that's when Whitehaven will make the dividend payment.
In case you were wondering, there's no dividend reinvestment plan (DRP) currently being offered.
During the first half of FY 2023, Whitehaven aims to complete the 10% buyback within its previously announced cap of $550 million. The board will seek shareholder approval to increase its share buyback programme at the company's annual general meeting in October.
The full-year dividends totalling $449 million and the $550 million buy-back represent a total payout ratio of 51% of FY 2022 net profit after tax (NPAT).
Whitehaven share price summary
Since the beginning of 2022, the Whitehaven share price has rocketed 196% on the back of favourable coal prices.
In comparison, the S&P/ASX 200 Energy Index (ASX: XEJ) is up 37% over the same timeframe.
Whitehaven shares reached an all-time high of $8.17 on Tuesday before retracing yesterday and today.
Based on today's price, Whitehaven commands a market capitalisation of approximately $7.61 billion and has a dividend yield of 5.19%.
