If you want to receive the next National Australia Bank Ltd (ASX: NAB) dividend, you will need to get a wriggle on.
That's because the banking giant's shares will soon be going ex-dividend for its final dividend of FY 2023.
Once that date comes, the rights to the dividend will be settled and new buyers of NAB shares will not be entitled to receive it on payday. Instead, the rights will remain with the seller of the shares.
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The NAB dividend
Last week, NAB released its FY 2023 results and reported a 12.9% increase in net operating income to $20,654 million and an 8.8% increase in cash earnings to $7,731 million.
This allowed the NAB board to declare a fully franked final dividend of 84 cents per share, which was up 7.7% on last year's final dividend of 78 cents per share.
For the full year, NAB's dividend came in at a fully franked 167 cents per share, which is up 10.6% on FY 2022's dividends. This equates to a total return of $5.2 billion.
Commenting on the dividend, the company said:
The final 2023 dividend has been set at 84 cents per share, bringing total dividends for the year ended 30 September 2023 to 167 cents per share which is 10.6% higher than 2022. This represents a 2023 cash earnings payout ratio of 67.7%, consistent with the Group's target dividend payout ratio which is guided by a range of 65% – 75% of cash earnings, subject to Board determination based on circumstances at the relevant time.
Getting paid
If you want to receive NAB's 84 cents per share final dividend, you will need to own its shares by the end of the day as they trade ex-dividend tomorrow.
After which, if you're an eligible shareholder, you can look forward to receiving this dividend in your bank account just before Christmas on 15 December.
Based on its current share price, the final NAB dividend equates to an attractive 2.9% yield.
