Inchcape

Website: Inchcape
Index: FTSE 250
EPIC: INCH
Supersector: Retail
Sector: General Retailers
Subsector: Specialty Retail
Market Cap: £2.85B
Payout Frequency: Semi-Annual

Next Inchcape Dividend

Inchcape next goes ex-dividend on 07/05/2026. This will be the Final dividend for 2026.

The dividend per share amount is 22.8000p (GBP) and the payment date is 15/06/2026.

Headline dividend details

Final dividend: 22.8p per share (subject to AGM approval on 14/05/2026)
Full-year DPS (FY2025): 32.3p (+13% YoY; FY2024: 28.5p)
Payout policy: 40% of adjusted basic EPS; FY2025 payout equals policy (32.3p on 80.8p EPS)
Ex-dividend date: 07/05/2026
Record date: 08/05/2026
Payment date: 15/06/2026
DRIP election deadline: 22/05/2026
Dividend cover: c.2.5x on adjusted EPS (80.8p/32.3p); c.2.2x on reported EPS (72.5p/32.3p)
Cash coverage: FY2025 dividends of c.£121m (32.3p on ~375m shares) vs £315m free cash flow (104% FCF conversion); cash payout ratio ~38%

Dividend sustainability and growth outlook

Coverage is robust: 2.5x on adjusted earnings and strong FCF coverage. Balance sheet leverage remains low at 0.4x net debt/EBITDA, giving flexibility to maintain dividends through the cycle.
Policy-driven growth: DPS tracks 40% of adjusted EPS. With FY2026 guidance of >10% EPS growth and c.100% FCF conversion, the trajectory supports continued dividend progression, barring FX or operational shocks.
Cash discipline: FY2025 free cash flow £315m comfortably covers total dividends (c.£121m). Ongoing buybacks reduce the share count, lowering the absolute cash cost of future dividends at a given DPS.

Support from financial performance and capital allocation

Operational delivery: FY2025 adjusted basic EPS up +13% to 80.8p; operating margin resilient at 6.2%; ROCE 29%. Currency headwinds mask modest organic revenue growth (+1%).
Capital allocation: Dividend remains anchored to 40% payout. Completed £250m buyback (c.9% of equity) and announced a new £175m programme; cumulative repurchases since Aug-2024 total c.13% of shares, enhancing per-share metrics and supporting DPS growth via EPS.
Balance sheet: Net debt £607m (incl. leases), adjusted net debt £264m; ample liquidity and no major fixed-rate corporate maturities before May 2027 (bond due 2028), underpinning dividend capacity.

Structural changes and policy signals affecting future dividends

Share buybacks: Significant ongoing buybacks (new £175m over 12 months) signal confidence and support EPS/DPS growth under the 40% payout policy.
Portfolio actions: Value-accretive bolt-on acquisition in Iceland (Askja) and multiple contract wins support medium-term earnings. Non-core divestments and retail network optimisation reinforce capital-light, cash-generative profile.
Contract dynamics: BYD Belux distribution contract not expected to renew (Q3 2027) but described as financially immaterial; limited direct risk to dividend policy.

Risks and flags to dividend stability

Regional softness: Ongoing APAC challenges and H1 2026 production disruptions could weigh on volumes/mix; FY2026 performance is H2-weighted, adding execution risk.
FX headwinds: Translational currency impacts were material in FY2025; a 1% move in key currencies is ~£1m PBT sensitivity.
Cash flow variability: FY2025 FCF fell to £315m (from £462m), partly due to working capital and inventory needs; management guides c.100% FCF conversion for 2026, but any slippage could tighten headroom for concurrent buybacks and dividends.
Regulatory/legacy: Potential indemnity exposure related to the FCA motor finance commission review (post-UK retail disposal) is highly uncertain in timing/quantum; low probability but a watchpoint.
Industry structure: OEM in-sourcing risk highlighted by BYD in Europe (current impact immaterial), and broader macro/geopolitical and supply-chain risks remain.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
01/05/2025	16/06/2025	Final	17.20p	GBX
07/08/2025	05/09/2025	Interim	9.50p	GBX

Total (Annual Dividends Per Share): 26.70p

Dividend Yield = Annual Dividends Per Share (26.70p) ÷ Share Price (793p) = 3.37%

Ex Dividend Date	Payment Date	Type	Amount	Currency
07/05/2026	15/06/2026	Final	22.8000p	GBX
07/08/2025	05/09/2025	Interim	9.50p	GBX
01/05/2025	16/06/2025	Final	17.20p	GBX
08/08/2024	06/09/2024	Interim	11.30p	GBX
02/05/2024	17/06/2024	Final	24.30p	GBX
03/08/2023	01/09/2023	Interim	9.60p	GBX
11/05/2023	19/06/2023	Final	21.30p	GBX
04/08/2022	02/09/2022	Interim	7.50p	GBX
12/05/2022	21/06/2022	Final	16.10p	GBX
05/08/2021	03/09/2021	Interim	6.40p	GBX
13/05/2021	21/06/2021	Final	6.90p	GBX
14/05/2020	19/06/2020	Final	17.90p	GBX
01/08/2019	04/09/2019	Interim	8.90p	GBX
16/05/2019	21/06/2019	Final	17.90p	GBX
02/08/2018	05/09/2018	Interim	8.90p	GBX
17/05/2018	22/06/2018	Final	18.90p	GBX
03/08/2017	06/09/2017	Interim	7.90p	GBX
18/05/2017	23/06/2017	Final	16.80p	GBX
04/08/2016	07/09/2016	Interim	7.00p	GBX
26/05/2016	24/06/2016	Final	14.10p	GBX
06/08/2015	04/09/2015	Interim	6.80p	GBX
28/05/2015	25/06/2015	Final	13.80p	GBX
06/08/2014	05/09/2014	Interim	6.30p	GBX
28/05/2014	24/06/2014	Final	11.70p	GBX
14/08/2013	12/09/2013	Interim	5.70p	GBX
22/05/2013	19/06/2013	Final	10.50p	GBX
08/08/2012	04/09/2012	Interim	4.00p	GBX
16/05/2012	12/06/2012	Final	7.40p	GBX
03/08/2011	05/09/2011	Interim	3.60p	GBX
18/05/2011	14/06/2011	Final	6.60p	GBX
06/08/2008	04/09/2008	Interim	5.46p	GBX
21/05/2008	17/06/2008	Final	10.50p	GBX
08/08/2007	10/09/2007	Interim	5.25p	GBX
16/05/2007	15/06/2007	Final	10.00p	GBX
09/08/2006	11/09/2006	Interim	5.00p	GBX
17/05/2006	16/06/2006	Final	38.00p	GBX
10/08/2005	12/09/2005	Interim	19.00p	GBX
18/05/2005	16/06/2005	Final	35.00p	GBX
11/08/2004	13/09/2004	Interim	15.00p	GBX
19/05/2004	17/06/2004	Final	26.00p	GBX
13/08/2003	15/09/2003	Interim	12.00p	GBX

Year	Interim	Final	Currency	Total	Change
2024	11.300	24.300	GBX	35.600	15.210
2023	9.600	21.300	GBX	30.900	30.930
2022	7.500	16.100	GBX	23.600	77.440
2021	6.400	6.900	GBX	13.300	-25.690
2020		17.900	GBX	17.900	-33.200
2019	8.900	17.900	GBX	26.800	-3.590
2018	8.900	18.900	GBX	27.800	12.550
2017	7.900	16.800	GBX	24.700	17.060
2016	7.000	14.100	GBX	21.100	2.420
2015	6.800	13.800	GBX	20.600	14.440
2014	6.300	11.700	GBX	18.000	11.110
2013	5.700	10.500	GBX	16.200	42.100
2012	4.000	7.400	GBX	11.400	11.760
2011	3.600	6.600	GBX	10.200	-36.090
2008	5.460	10.500	GBX	15.960	4.650
2007	5.250	10.000	GBX	15.250	-64.530
2006	5.000	38.000	GBX	43.000	-20.370
2005	19.000	35.000	GBX	54.000	31.700
2004	15.000	26.000	GBX	41.000	241.660
2003	12.000		GBX	12.000

Number of Shares:

Payment	Paid	Amount
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