Glanbia CDI

Website: Glanbia CDI
Index: Main Market
EPIC: GLB
Supersector: Food, Beverage and Tobacco
Sector: Food Producers
Subsector: Food Products
Market Cap: £3.65B
Payout Frequency: Semi-Annual

Glanbia CDI Dividend Analysis and Summary

Headline Dividend Details

Final dividend: €25.67c per share (payable in euro; Irish withholding tax applies where appropriate)
Total FY25 dividend: €42.87c per share (up 10% year on year)
Payout ratio: 35.9% of adjusted EPS (within the stated 30%–40% target range)
Ex-dividend date: 19/03/2026 (derived from record date)
Record date: 20/03/2026
Payment date: 01/05/2026
Currency: EUR (primary dividend payment currency)
Status: Final dividend recommended; subject to shareholder approval at the AGM on 29/04/2026
Indicative trailing yield: approximately ~3.3% using the FY25 total dividend (€0.4287) and the Company’s average buyback price of €13.10 as a proxy (actual yield depends on current share price)

Dividend Sustainability and Coverage

Cash generation: Strong operating cash conversion of 91%; Operating Cash Flow $454m and Free Cash Flow $360m comfortably cover the FY25 cash dividends (c. $118m).
Balance sheet: Net debt/adj. EBITDA 1.08x (up from 0.81x) remains conservative, supporting ongoing distributions.
Earnings base: Adjusted EPS declined 3.4% (cc) to 134.93 $c due to whey cost inflation pressure in Performance Nutrition; however FY26 guidance targets +7%–11% adjusted EPS growth (cc) and 85%+ cash conversion, which underpins dividend growth prospects within the 30%–40% payout policy.
Capital allocation balance: FY25 returned ~€197m via buybacks alongside the dividend. Combined distributions exceeded FCF, contributing to a modest increase in net debt, but leverage remains low.

Dividend Growth Trajectory

FY25 total dividend up 10%, consistent with a policy to deliver progressive dividends within a 30%–40% payout.
Medium-term setup: Transformation savings (target $60m by 2027), portfolio focus, and H&N growth should support earnings and cash flow, enabling continued dividend progression, subject to commodity cost and tariff risks.

Financial and Capital Allocation Context

EBITDA declined 9.4% (cc) to $499m as PN margins compressed (13.0% vs 16.9%) on record whey input costs; H&N margin improved to 18.4% and DN was resilient.
Capex: $84.8m in FY25; FY26 guidance $100–110m (notably H&N capacity expansion). This remains manageable versus cash generation.
Buybacks: ~15m shares repurchased and cancelled in FY25 (c. 5.8% of starting share count), with an additional €100m buyback authorization for 2026 (first €50m tranche launching). Lower share count supports per-share dividend capacity.

Structural Changes and Policy Signals

Portfolio actions: Disposals of SlimFast and Body & Fit (non-core) de-risk PN and may improve mix and margin resilience; acquisitions of Sweetmix (Brazil) and Scicore (India) strengthen H&N scale and in-market manufacturing.
Segment reporting change: Glanbia Nutritionals split into Health & Nutrition and Dairy Nutrition from FY25—no direct impact on dividend policy but increases transparency on drivers of cash generation.
Shareholder structure: Tirlán Co-op reduced its stake to 17.86% after a share placement in which Glanbia participated; ongoing buybacks and any future placements could further reduce free float concentration and support per-share metrics.
Policy clarity: Board reaffirmed dividend payout range of 30%–40% of adjusted EPS.

Risks and Flags for Dividend Stability

Commodity and input costs: PN margins were hit by whey price inflation; sustained volatility could pressure earnings and dividend headroom if not offset by pricing and efficiency gains.
Trade/tariffs and geopolitics: Management cites elevated risks around tariffs and global tensions that could disrupt supply chains and demand, particularly for H&N and DN.
Transformation programme: Targeted $60m savings by 2027 is supportive, but execution carries integration/transformation risk and cash costs (exceptional cash paid $55.8m in FY25).
Currency: Dividend in EUR while EPS is reported in USD; FX movements can affect the reported payout ratio and investor cash flows depending on base currency.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
20/03/2025	02/05/2025	Final	23.33¢	EUX
21/08/2025	03/10/2025	Interim	17.20¢	EUX

Total (Annual Dividends Per Share): 35.30p (Using exchange rate on 09/04/2026 EUR = £0.87100)

Dividend Yield = Annual Dividends Per Share (35.30p) ÷ Share Price (16.5p) = 213.95%

Ex Dividend Date	Payment Date	Type	Amount	Currency
19/03/2026	01/05/2026	Final	25.67¢	EUX
21/08/2025	03/10/2025	Interim	17.20¢	EUX
20/03/2025	02/05/2025	Final	23.33¢	EUX
22/08/2024	04/10/2024	Interim	15.64¢	EUX
21/03/2024	03/05/2024	Final	21.21¢	EUX
24/08/2023	06/10/2023	Interim	14.22¢	EUX
23/03/2023	05/05/2023	Final	19.28¢	EUX
25/08/2022	07/10/2022	Interim	12.93¢	EUX
24/03/2022	06/05/2022	Final	17.53¢	EUX
19/08/2021	01/10/2021	Interim	11.75¢	EUX
25/03/2021	07/05/2021	Final	15.94¢	EUX
20/08/2020	02/10/2020	Interim	10.68¢	EUX
12/03/2020	24/04/2020	Final	15.94¢	EUX
22/08/2019	04/10/2019	Interim	10.68¢	EUX

Year	Interim	Final	Currency	Total	Change
2024	15.640	23.330	EUX	38.970	9.990
2023	14.220	21.210	EUX	35.430	9.990
2022	12.930	19.280	EUX	32.210	10.000
2021	11.750	17.530	EUX	29.280	9.990
2020	10.680	15.940	EUX	26.620	0.000
2019	10.680	15.940	EUX	26.620

Number of Shares:

Payment	Paid	Amount
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