The Mineral Resources Ltd (ASX: MIN) share price is down 3.1% as we head into the Friday lunch hour.
At the time of writing, shares in the S&P/ASX 200 Index (ASX: XJO) diversified resources producer are swapping hands for $69.54. Shares closed yesterday trading for $71.77 apiece.
For some context, the ASX 200 is down 0.4% at this same time, while the S&P/ASX 200 Resource Index (ASX: XJR) is down 1.1%.
So, what's going on?
Why is the Mineral Resources share price underperforming today?
It's a tough day for most ASX resource stocks today.
But in good news for stockholders, a large part of the Mineral Resources share price fall comes because the stock is trading ex-dividend.
This means investors buying shares today will no longer be eligible to receive the upcoming fully franked final dividend of 70 cents per share. That passive income payout will go to investors who held Mineral Resources shares at market close yesterday. Eligible investors can expect to see that cash land in their bank accounts on 27 September.
It's common for a company's share price to fall on the day it trades ex-dividend.
And bear in mind that on 28 August – the day the ASX 200 resources company reported its FY 2023 results – the Mineral Resources share price closed the day up 8%.
Highlights of those results included a 40% year on year increase in revenue, which came in at $4.8 billion. Underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) leapt 71% from FY 2022 to $1.8 billion.
Net profit after tax (NPAT) went the other direction, sliding 30% from FY 2022 to $244 million. NPAT took a hit from non-cash impairment charges of the company's Yilgarn and Utah Point iron ore assets.
Lithium was among the bright spots.
The Mineral Resources share price likely got a boost after the company reported record lithium earnings over the year.
