BlackRock Greater Europe Investment Trust

BlackRock Greater Europe Investment Trust Dividend Analysis and Summary

Dividend announcement (ex-dividend date confirmed)

Dividend type: Final
Final dividend: 5.40p per share
Total FY2025 dividend: 7.15p per share (Interim 1.75p + Final 5.40p), up 2.1% year-on-year; 19th consecutive annual increase
Ex-dividend date: 20/11/2025
Record date: 21/11/2025
Payment date: 19/12/2025 (subject to AGM approval on 11/12/2025)
Coverage: Revenue EPS 6.89p vs total dividend 7.15p ? c.0.96x covered; small top-up from revenue reserves of £74k
Revenue reserves: £11.38m (~c.12p per share), covering c.1.7x the current annual dividend
Indicative yield: ~1.25% based on 7.15p FY dividend and 31 Aug 2025 share price of 570p

Sustainability and coverage

Near-full coverage: FY2025 dividend is slightly uncovered (0.96x) due to lower revenue EPS (6.89p, -6.3% YoY). The shortfall is immaterial in absolute terms (c.£74k) and easily met from healthy revenue reserves (~12p/share).
Reserves strength: Revenue reserves of £11.38m provide c.1.7x cover of the current annual dividend, offering good headroom for a flat-to-modest growth dividend trajectory even if revenue remains subdued.
Cost tailwind: The management fee cut effective 01/09/2025 (blended OCR targeted ~0.775% vs 0.95%) should improve revenue retention, supporting coverage from FY2026 onward.
Capital management: Ongoing buybacks (c.5%+ of share count over FY25 and post year-end) concentrate income over fewer shares, incrementally supporting per-share dividend sustainability.
Income mix: A greater allocation to banks and defence may modestly improve portfolio income resilience versus a pure growth tilt, though the trust remains capital-growth focused.

Dividend growth trajectory

Policy and record: 19th successive annual increase maintained; FY2025 growth of 2.1% is consistent with the trust’s pattern of steady, low-single-digit dividend rises.
Outlook: With fee savings, buybacks, and potential contribution from higher-yielding holdings (e.g., financials), modest dividend growth looks achievable. However, given the revenue dip this year, near-term increases are likely to remain measured rather than aggressive.

Support from financial performance and capital allocation

Performance backdrop: NAV TR -6.1% and revenue EPS down 6.3% reflect a challenging style environment and stock-specific detractors. Despite this, dividend was almost fully covered and topped up minimally from reserves.
Capital allocation: Elevated buybacks at c.6% discount, and the decision to forego the November 2025 tender, support NAV per share and future per-share income capacity. The fee cut enhances ongoing earnings power.

Structural/strategic changes relevant to dividends

Portfolio management: Appointment of Brian Hall as co-portfolio manager alongside Stefan Gries, introducing more balance via selective “quality value” ideas. No change to investment objective or policy.
Fee structure: Material reduction in management fee tiers from 01/09/2025; expected OCR ~0.775% supports future revenue cushioning and dividend cover.
Shareholder distribution tools: Continued buybacks; the Board chose not to proceed with the semi-annual tender offer in November 2025, favouring buybacks to manage the discount.
No demergers, M&A, or share consolidations disclosed.

Risks and flags for dividend stability

Revenue pressure: FY revenue declined; another weak income year could require a larger reserves draw if the Board wishes to sustain dividend growth.
Style and stock risks: Extended underperformance of growth vs value and narrow market leadership add uncertainty to earnings and revenue visibility.
Russian assets and trapped income: ~£2.69m dividends held in an ‘S’ account and c.£29m local market value of Russian securities remain effectively inaccessible; not recognised in NAV or income and unlikely to support dividends.
Market/geopolitical volatility: European macro, tariff/trade policy shifts, and sector rotations could affect portfolio income streams.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
06/05/2021	04/06/2021	Q2	1.75
18/11/2021	17/12/2021	Q4	4.55

Total (Annual Dividends Per Share): 0.00p

Dividend Yield = Annual Dividends Per Share (0.00p) ÷ Share Price (574p) = 0%

Ex Dividend Date	Payment Date	Type	Amount
20/11/2025	19/12/2025	Q4	54.0000
22/05/2025	18/06/2025	Q4	1.75
18/11/2021	17/12/2021	Q4	4.55
06/05/2021	04/06/2021	Q2	1.75

Year	Total
2021	6.300

Number of Shares:

Payment	Paid	Amount
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