Fuller Smith & Turner
Website:
Fuller Smith & Turner
Index:
FTSE Small Cap
EPIC: FSTA
Supersector:
Travel and Leisure
Sector:
Travel and Leisure
Subsector:
Restaurants and Bars
Market Cap:
£211.6M
Payout Frequency: Semi-Annual
Fuller Smith & Turner Dividend Analysis and Summary
Key dividend details
- Type: Interim dividend
- Amount: 7.85p per 40p ‘A’ and ‘C’ ordinary share; 0.785p per 4p ‘B’ ordinary share
- Ex-dividend date: 11/12/2025 (derived from record date)
- Record date: 12/12/2025
- Payment date: 02/01/2026
- Year-on-year growth: +6% (from 7.41p)
- Interim dividend cover: ~3.8x (H1 adjusted EPS 30.03p vs DPS 7.85p)
- Stated policy/aim: Progressive dividend with a pathway to cover of >2.5x
Support from financial performance and cash flow
- H1 trading: Revenue up 7% to £207.5m; adjusted PBT up 28% to £22.5m; adjusted EPS up 38% to 30.03p.
- Margins: Managed Pubs & Hotels operating margin improved to 17.1% (from 15.7%). Like-for-like sales +4.6%.
- Cash and leverage: Net debt (ex-leases) £138.3m; net debt/EBITDA 2.18x; undrawn committed facilities £63.2m to Aug-2028; average borrowing cost down to 6.1%.
- Capital allocation: H1 returns to shareholders £13.8m (dividends + buybacks); capex invested £13.5m with a further £15m planned in H2.
Analysis: sustainability and growth trajectory
- The 6% interim DPS uplift is well covered (~3.8x on H1 adjusted EPS) and aligns with management’s goal to rebuild cover to >2.5x. Strong like-for-like growth and margin expansion underpin the increase.
- Balance sheet and liquidity look supportive of a progressive dividend: leverage at 2.18x with ample headroom and reduced interest costs post-refinancing and swaps.
- Ongoing share buybacks (1.2m ‘A’ shares repurchased in H1; treasury share cancellations) reduce share count, supporting per-share dividend growth without materially stretching cash flows.
- Capex focus on high-return estate investments should sustain earnings quality, aiding dividend capacity over time.
Structural and policy factors to note
- Share buybacks and cancellations: Continuing programme; capital redemption reserve increased via treasury share cancellations. Supports per-share metrics and dividend affordability.
- Financing and rate management: Facilities to Aug-2028; interest rate swap on £60m at 3.65% and lower base rate cut funding costs—positive for dividend resilience.
- Potential M&A: Company cites balance sheet strength and acquisition appetite; disciplined capital framework flagged. Acquisitions could influence future dividend trajectory depending on deal terms/leverage.
- Share class note: ‘B’ shares receive one-tenth of ‘A’/‘C’ DPS; optional ‘C’ to ‘A’ conversion window mentioned (administrative, not policy-changing).
Risks and flags to dividend stability
- Cost pressures: Elevated wage inflation from National Living Wage and NI changes; management mitigating via efficiencies and pricing.
- Macro/policy uncertainty: Upcoming UK Budget and Employment Law reforms could affect sector profitability; management calls out potential headwinds.
- Operational disruptions: Risk from transport strikes during key trading periods (notably Christmas) could pressure cash generation.
- Asset valuation/impairments: Modest H1 impairments (£1.9m) and sensitivity to discount rates/property values are ongoing considerations (though currently manageable).
Read more
Fuller Smith & Turner Annual Dividend Yield - 2.86%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 12/12/2024 |
02/01/2025 |
Interim |
7.41p |
GBX |
| 03/07/2025 |
24/07/2025 |
Final |
12.35p |
GBX |
Total (Annual Dividends Per Share):
19.76p
Dividend Yield =
Annual Dividends Per Share (19.76p)
÷ Share Price (690p)
= 2.86%
Fuller Smith & Turner Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 11/12/2025 |
02/01/2026 |
Interim |
7.8500p |
GBX |
| 03/07/2025 |
24/07/2025 |
Final |
12.35p |
GBX |
| 12/12/2024 |
02/01/2025 |
Interim |
7.41p |
GBX |
| 04/07/2024 |
25/07/2024 |
Final |
11.12p |
GBX |
| 14/12/2023 |
02/01/2024 |
Interim |
6.63p |
GBX |
| 22/06/2023 |
27/07/2023 |
Final |
10.0p |
GBX |
| 15/12/2022 |
03/01/2023 |
Interim |
4.68p |
GBX |
| 07/07/2022 |
27/07/2022 |
Final |
7.41p |
GBX |
| 16/12/2021 |
04/01/2022 |
Interim |
3.90p |
GBX |
| 19/12/2019 |
10/01/2020 |
Interim |
7.80p |
GBX |
| 02/10/2019 |
11/10/2019 |
Special |
125.00p |
GBX |
| 01/08/2019 |
06/09/2019 |
Final |
4.35p |
GBX |
| 13/06/2019 |
12/07/2019 |
2nd Interim |
8.00p |
GBX |
| 13/06/2019 |
12/07/2019 |
Final |
8.00p |
GBX |
| 06/12/2018 |
02/01/2019 |
Interim |
7.80p |
GBX |
| 21/06/2018 |
26/07/2018 |
Final |
12.00p |
GBX |
| 07/12/2017 |
02/01/2018 |
Interim |
7.55p |
GBX |
| 22/06/2017 |
27/07/2017 |
Final |
11.55p |
GBX |
| 01/12/2016 |
03/01/2017 |
Interim |
7.25p |
GBX |
| 23/06/2016 |
25/07/2016 |
Final |
11.00p |
GBX |
| 03/12/2015 |
04/01/2016 |
Interim |
6.90p |
GBX |
| 25/06/2015 |
27/07/2015 |
Final |
10.20p |
GBX |
| 04/12/2014 |
02/01/2015 |
Interim |
6.40p |
GBX |
| Year |
Interim |
Final |
Special |
Currency |
Total |
Change |
| 2024 |
7.410 |
11.120 |
|
GBX |
18.530 |
11.420 |
| 2023 |
6.630 |
10.000 |
|
GBX |
16.630 |
37.550 |
| 2022 |
4.680 |
7.410 |
|
GBX |
12.090 |
210.000 |
| 2021 |
3.900 |
|
|
GBX |
3.900 |
-97.450 |
| 2019 |
7.800 |
12.350 |
125.000 |
GBX |
153.150 |
673.480 |
| 2018 |
7.800 |
12.000 |
|
GBX |
19.800 |
3.660 |
| 2017 |
7.550 |
11.550 |
|
GBX |
19.100 |
4.650 |
| 2016 |
7.250 |
11.000 |
|
GBX |
18.250 |
6.720 |
| 2015 |
6.900 |
10.200 |
|
GBX |
17.100 |
167.180 |
| 2014 |
6.400 |
|
|
GBX |
6.400 |
|
Fuller Smith & Turner Dividend Calculator
Fuller Smith & Turner Dividend Growth
| Dividend Growth (1Y) |
9.01%
|
| Dividend CAGR (5Y) |
38.95%
|
| Years of Growth |
3
|
| Payout Ratio |
53.4%
|
| Buyback Yield |
5.78%
|
| Shareholder Yield |
8.77%
|
| P/E Ratio (TTM) | 18.01 |
|---|
| Forward P/E | 15.83 |
|---|
| P/FCF | 9.85 |
|---|
| Earnings Yield | 5.81% |
|---|
| FCF Yield | 10.15% |
|---|
| ROE | 4.82% |
|---|
| ROCE | 6.78% |
|---|
| Profit Margin | 5.29% |
|---|
| Operating Margin | 11.09% |
|---|
| Gross Margin | 32.05% |
|---|