ResMed Inc Announces Quarterly Dividend of USD 0.053 Per Share
RMD (RMD) Share Update August 2024 Thursday 1st
ResMed Inc Declares Quarterly Dividend
ResMed Inc (ASX: RMD) has declared a quarterly dividend of USD 0.053 per share for its Chess Depositary Instruments (CDIs) trading on the Australian Securities Exchange.
Instant Summary:
- Quarterly dividend of USD 0.053 per share.
- Ex Date: 14 August 2024.
- Record Date: 15 August 2024.
- Payment Date: 19 September 2024.
- Dividend relates to the financial period ending 30 June 2024.
Dividend Announcement
ResMed Inc, a global leader in connected health, has announced a quarterly dividend of USD 0.053 per share for its Chess Depositary Instruments (CDIs) trading on the Australian Securities Exchange (ASX). This dividend is for the financial period ending 30 June 2024.
The ex-dividend date is set for 14 August 2024, meaning that investors must own the shares before this date to be eligible for the dividend. The record date, which is the date on which the company reviews its records to determine the shareholders eligible for the dividend, is 15 August 2024. The payment date, when the dividend will be distributed to shareholders, is scheduled for 19 September 2024.
Dividend Details
The dividend amount is USD 0.053 per share, and it will be paid in US dollars. For holders of CDIs, the dividend will be converted to Australian dollars based on the exchange rate on the record date. It is important to note that the dividend is unfranked, meaning it does not carry any tax credits for Australian investors.
Furthermore, a 30% withholding tax rate applies to this dividend, which may impact the net amount received by shareholders, depending on their tax circumstances.
Additional Information
ResMed Inc has confirmed that no additional approvals are required for this dividend distribution. The company does not have a securities plan for dividends or distributions on this security, and there is no tax component information apart from the withholding tax rate.
The announcement of a quarterly dividend is generally seen as a positive sign, indicating the company's stable financial health and commitment to returning value to shareholders. However, the relatively modest dividend amount of USD 0.053 per share may not significantly impact the stock price. The unfranked nature of the dividend and the 30% withholding tax rate could also influence investor sentiment, particularly for Australian investors who might prefer franked dividends.
Investor Reaction:
Analysts are likely to view this announcement as a routine quarterly update, reflecting ResMed's consistent performance. While the dividend amount is modest, it reinforces the company's commitment to providing regular returns to its shareholders. Investor reaction is expected to be neutral to slightly positive, with some investors appreciating the steady income stream.
Conclusion:
Investors should mark their calendars for the key dates associated with this dividend and consider the impact of the withholding tax on their net returns. As always, it's important to stay informed about the company's performance and any future announcements that may affect their investment.