EnQuest
Website:
EnQuest
Index:
FTSE Small Cap
EPIC: ENQ
Supersector:
Energy
Sector:
Oil: Crude Producers
Subsector:
Exploration and Production
Market Cap:
£395.86M
Payout Frequency: -
Next EnQuest Dividend
EnQuest next goes ex-dividend on 07/05/2026.
This will be the Final dividend for 2026.
The dividend per share amount is 0.8010p (GBP)
and the payment date is 05/06/2026.
EnQuest Dividend Analysis and Summary
Dividend Summary (Ex-dividend date: 07/05/2026)
- Dividend type: Final dividend (FY2025), subject to shareholder approval at the AGM on 22/05/2026.
- Amount: 0.801 pence per share (approx. $20.0m total).
- Ex-dividend date: 07/05/2026.
- Record date: 08/05/2026.
- Payment date: 05/06/2026.
- Currency: Declared in GBP (pence per share).
- Progression: Up from the c.0.616 pence per share maiden dividend paid in June 2025 (c.$15.3m total) — c.30% uplift year-on-year.
Quick Context
- 2025 results: Adjusted EBITDA $503.8m (down from $673.9m); adjusted free cash flow $8.7m.
- Net debt at 31 Dec 2025: $433.9m (0.9x EBITDA); liquidity (cash + undrawn facilities) $678.6m.
- 2026 guidance: Production 41–45 Kboed; capex c.$160m; decommissioning c.$60m.
- Hedging from 1 Apr 2026: 5.1 MMbbls next 12 months at avg floor $71.3/bbl, plus 3.5 MMbbls in the following 12 months at $64.4/bbl.
Dividend Sustainability and Growth
- Affordability: The proposed payout (~$20m) is modest versus 2025 adjusted EBITDA (~4%) and within current liquidity headroom. However, 2025 adjusted free cash flow was low ($8.7m) due to weaker oil prices, higher cash taxes (EPL) and growth capex; the dividend will be funded from 2026 cash flows.
- Cash flow outlook: 2026 production momentum (March >50 Kboed), hedging floors at $71/bbl from April, and the Seligi 1b gas uplift support improved cash generation versus 2025. This underpins near-term dividend coverage.
- Balance sheet: Leverage remains reasonable (0.9x EBITDA). The $60m settlement of Magnus profit-share removes a volatile liability and unlocks c.$777m of additional undiscounted forward Magnus cash flow, improving long-term cash visibility and RBL capacity.
- Growth trajectory: The step-up from the maiden dividend (0.616p) to 0.801p indicates a cautiously progressive stance. Future progression likely hinges on commodity prices, UK fiscal take, delivery of Magnus infill program (from Q2 2026), and continued Asian gas growth.
- Capital allocation: 2026 plan (opex c.$450m, capex c.$160m, decom c.$60m) remains manageable alongside a small dividend. Management also signals appetite for value-accretive M&A; any sizable deal could temporarily rebalance priority toward reinvestment or deleveraging over dividend growth.
Structural/Corporate Developments Relevant to Dividends
- Magnus profit-share settlement (Feb 2026): One-off $60m payment eliminates a large contingent liability (previously $432.9m discounted), simplifying the balance sheet and enhancing future cash capture from Magnus.
- RBL refinancing (Q4 2025): New $800m facility (plus $800m accordion) extends maturity to 2031 and materially strengthens liquidity/transactional capacity, supportive of shareholder returns.
- South East Asia expansion: Vietnam acquisition (completed Jul 2025) and gas growth at Seligi 1b diversify cash flows and reduce carbon intensity; Vietnam PSC extended to July 2034 post year-end.
- Potential UK North Sea transaction flagged for 2026; could be transformative but may redirect capital in the near term depending on size/terms.
Risks and Flags for Dividend Stability
- Commodity and fiscal risk: 2025 saw materially higher EPL cash tax ($84.1m). While an OGPM successor regime is mooted, UK fiscal uncertainty remains a headwind to free cash flow.
- Free cash flow sensitivity: 2025 adjusted FCF was low; sustained dividend growth requires improved operating cash flow and cost control amid capex/decommissioning commitments.
- Refinancing risk: 2027 bond maturities ($644m combined principal equivalent) will need market access; management plans opportunistic refinancing, but market conditions could affect flexibility.
- Operational reliability: Third-party infrastructure outages (e.g., Magnus/Ninian) and North Sea weather can disrupt volumes; mitigation is underway (Ninian bypass project targeted 2027).
- Execution risk in growth: Delivering the Magnus infill program and SEA projects on time/budget is key to sustaining higher cash flow.
- FX: GBP-denominated dividend vs predominantly USD cash flows introduces currency risk to the sterling payout level.
Read more
EnQuest Annual Dividend Yield - 0%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
Total (Annual Dividends Per Share):
0.00p
Dividend Yield =
Annual Dividends Per Share (0.00p)
÷ Share Price (21.05p)
= 0%
EnQuest Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 07/05/2026 |
05/06/2026 |
Final |
0.8010p |
GBX |
| 01/05/2025 |
06/06/2025 |
Final |
0.6160p |
GBX |
EnQuest Dividend Calculator
EnQuest Dividend Growth
| Dividend Growth (1Y) |
–
|
| Dividend CAGR (5Y) |
–
|
| Years of Growth |
1
|
| Payout Ratio |
979.51%
|
| Buyback Yield |
1.68%
|
| Shareholder Yield |
5.64%
|
| P/E Ratio (TTM) | 331.94 |
|---|
| Forward P/E | 4.16 |
|---|
| P/FCF | 2.76 |
|---|
| Earnings Yield | 0.3% |
|---|
| FCF Yield | 36.2% |
|---|
| ROE | 0.29% |
|---|
| ROCE | 9.02% |
|---|
| Profit Margin | 0.14% |
|---|
| Operating Margin | 22.13% |
|---|
| Gross Margin | 25.11% |
|---|