InterContinental Hotels Group

Website: InterContinental Hotels Group
Index: FTSE 100
EPIC: IHG
Supersector: Travel and Leisure
Sector: Travel and Leisure
Subsector: Hotels
Market Cap: £15.03B
Payout Frequency: Semi-Annual

Next InterContinental Hotels Group Dividend

InterContinental Hotels Group next goes ex-dividend on 09/04/2026. This will be the Final dividend for 2026.

The dividend per share amount is 125.90¢ (USD) and the payment date is 14/05/2026.

InterContinental Hotels Group Dividend Analysis and Summary

Key Dividend Details (Final FY2025)

Final dividend per share: 125.9¢ (USD), up +10% YoY
Total dividend for FY2025: 184.5¢ (USD), up +10% YoY
Ex-dividend date (Ordinary shares): 09/04/2026 (ADRs: 10/04/2026)
Record date: 10/04/2026
Payment date: 14/05/2026 (subject to AGM approval on 07/05/2026)
Currency: Declared in USD; sterling amount to be announced on 27/04/2026 (based on FX over 22–24 April)
Optionality: USD currency election available; DRIP offered (election deadline 23/04/2026, 5:00pm UK)
Indicative payout ratio: c.37% of adjusted EPS (184.5¢ DPS vs 501.3¢ adjusted EPS)

Dividend Sustainability and Growth

Cover: Strong. Adjusted EPS rose +16% to 501.3¢, covering the FY DPS ~2.7x; adjusted free cash flow (AFCF) of $893m vs cash dividends of $270m in 2025 implies >3x cash cover.
Track record and policy: Fourth consecutive year of +10% ordinary dividend growth. Management explicitly targets a “sustainably growing” dividend within its capital allocation framework.
Earnings and margins: Fee business operating profit up +13.5%; fee margin expanded +360bps to 64.8%, supporting ongoing dividend capacity.
Balance sheet: Net debt $3.33bn, leverage at 2.5x net debt/Adjusted EBITDA—within the 2.5–3.0x target range.

Support from Financial Performance and Capital Allocation

Cash generation: Net cash from operating activities $898m; AFCF $893m. Dividends comfortably funded from organic cash flow.
Capital returns mix: Ordinary dividends supplemented by material buybacks—$900m in 2025; new $950m programme for 2026. While EPS-accretive, buybacks lift interest expense and keep leverage within, but near, target.
Growth engine: Asset-light, fee-based model with +4.0% reported (adjusted +4.7%) net system growth and a healthy pipeline (340k rooms). Medium/long-term algorithm (high single-digit fee revenue growth, 100–150bps margin expansion) underpins dividend progression.

Structural and Strategic Developments Affecting Future Dividends

Share buybacks: Ongoing programmes reduce share count (-4.8% in 2025), supporting per-share metrics and dividend affordability.
Brand portfolio expansion: Acquisition of the Ruby brand (Feb 2025) and launch of Noted Collection (Feb 2026) broaden higher-fee segments—potentially supportive for longer-term fee growth and dividend capacity.
No demergers/share consolidations announced. Balance sheet liquidity strengthened with a new $1.5bn RCF (matures 2030); IG ratings maintained (BBB/Baa2).

Risks and Flags to Dividend Stability

Leverage and interest costs: Net debt up +20% YoY; adjusted interest expense rose to $200m (guidance $230–250m for 2026). Higher financing costs could modestly tighten headroom if trading softens.
Cyclical exposure: 2025 RevPAR softness in the Americas (+0.3%) and -1.6% in Greater China highlights demand cyclicality; management expects improvement in 2026 but macro/geopolitical risks remain.
FX for UK holders: DPS declared in USD; sterling payout varies with FX, introducing currency volatility to UK income.
Refinancing profile: Upcoming bond maturities in Aug 2026 (£350m) and May 2027 (€500m); ample liquidity mitigates risk, but market conditions bear monitoring.
One-offs: Ongoing efficiency programme and litigation costs were modest in 2025; not a structural threat but worth tracking.

InterContinental Hotels Group Annual Dividend Yield - 97.96%

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
03/04/2025	15/05/2025	Final	114.40¢	USX
21/08/2025	02/10/2025	Interim	58.60¢	USX

Total (Annual Dividends Per Share): 129.66p (Using exchange rate on 17/03/2026 $ = £0.74946)

Dividend Yield = Annual Dividends Per Share (129.66p) ÷ Share Price (132.35p) = 97.96%

InterContinental Hotels Group Dividend History

Detailed
Annual

Ex Dividend Date	Payment Date	Type	Amount	Currency
09/04/2026	14/05/2026	Final	125.90¢	USX
21/08/2025	02/10/2025	Interim	58.60¢	USX
03/04/2025	15/05/2025	Final	114.40¢	USX
29/08/2024	03/10/2024	Interim	53.20¢	USX
04/04/2024	14/05/2024	Final	104.00¢	USX
31/08/2023	05/10/2023	Interim	48.30¢	USX
30/03/2023	16/05/2023	Final	94.50¢	USX
01/09/2022	06/10/2022	Interim	43.90¢	USX
31/03/2022	17/05/2022	Final	85.90¢	USX
29/08/2019	03/10/2019	Interim	32.00¢	USX
28/03/2019	14/05/2019	Final	60.40¢	USX
10/01/2019	29/01/2019	Special	203.80¢	USX
30/08/2018	05/10/2018	Interim	27.70¢	USX
29/03/2018	11/05/2018	Final	50.20¢	USX
31/08/2017	06/10/2017	Interim	24.40¢	USX
08/05/2017	22/05/2017	Special	156.40p	GBX
04/05/2017	22/05/2017	Final	49.40p	GBX
01/09/2016	07/10/2016	Interim	22.60p	GBX
05/05/2016	23/05/2016	Special	438.20p	GBX
31/03/2016	13/05/2016	Final	40.30p	GBX
27/08/2015	02/10/2015	Interim	17.70p	GBX
02/04/2015	15/05/2015	Final	33.80p	GBX
20/08/2014	26/09/2014	Interim	14.80p	GBX
26/06/2014	14/07/2014	Special	174.90p	GBX
19/03/2014	09/05/2014	Final	28.10p	GBX
21/08/2013	04/10/2013	Interim	15.10p	GBX
21/08/2013	04/10/2013	Special	87.10p	GBX
20/03/2013	31/05/2013	Final	27.70p	GBX
04/10/2012	22/10/2012	Special	108.40p	GBX
22/08/2012	28/09/2012	Interim	13.50p	GBX
21/03/2012	01/06/2012	Final	24.70p	GBX
24/08/2011	07/10/2011	Interim	9.80p	GBX
23/03/2011	03/06/2011	Final	22.00p	GBX
25/08/2010	01/10/2010	Interim	8.00p	GBX
24/03/2010	04/06/2010	Final	18.70p	GBX
26/08/2009	02/10/2009	Interim	7.30p	GBX
25/03/2009	05/06/2009	Final	20.20p	GBX
27/08/2008	03/10/2008	Interim	6.40p	GBX
26/03/2008	06/06/2008	Final	14.90p	GBX
29/08/2007	05/10/2007	Interim	5.70p	GBX
30/05/2007	15/06/2007	Special	200.00p	GBX
21/03/2007	08/06/2007	Final	13.30p	GBX
30/08/2006	05/10/2006	Interim	5.10p	GBX
07/06/2006	22/06/2006	Special	118.00p	GBX
29/03/2006	05/06/2006	Final	10.70p	GBX
21/09/2005	17/10/2005	Interim	4.60p	GBX
30/03/2005	03/06/2005	Final	10.00p	GBX
08/12/2004	17/12/2004	Special	72.00p	GBX
22/09/2004	18/10/2004	Interim	4.30p	GBX

Year	Interim	Final	Special	Currency	Total	Change
2024	53.200	104.000		USX	157.200	225.460
2023	48.300			USX	48.300	-65.100
2022	43.900	94.500		USX	138.400	61.110
2021		85.900		USX	85.900	-63.570
2019	32.000		203.800	USX	235.800	167.650
2018	27.700	60.400		USX	88.100	-68.580
2017	24.400	99.600	156.400	GBX	280.400	-39.140
2016	22.600		438.200	GBX	460.800	401.960
2015	17.700	74.100		GBX	91.800	-51.600
2014	14.800		174.900	GBX	189.700	45.580
2013	15.100	28.100	87.100	GBX	130.300	-12.900
2012	13.500	27.700	108.400	GBX	149.600	333.620
2011	9.800	24.700		GBX	34.500	15.000
2010	8.000	22.000		GBX	30.000	15.380
2009	7.300	18.700		GBX	26.000	-2.250
2008	6.400	20.200		GBX	26.600	-87.940
2007	5.700	14.900	200.000	GBX	220.600	61.730
2006	5.100	13.300	118.000	GBX	136.400	791.500
2005	4.600	10.700		GBX	15.300	-82.270
2004	4.300	10.000	72.000	GBX	86.300

InterContinental Hotels Group Dividend Calculator

Number of Shares:

Payment	Paid	Amount
Next	–	–
Previous	–	–

InterContinental Hotels Group Dividend Growth

Dividend Growth (1Y)	3.06%
Dividend CAGR (5Y)	13.69%
Years of Growth	3
Payout Ratio	35.62%
Buyback Yield	4.42%
Shareholder Yield	5.83%

P/E Ratio (TTM)	27.37
Forward P/E	23.57
P/FCF	23.11
Earnings Yield	3.77%
FCF Yield	4.33%
ROE	–
ROCE	36.86%
Profit Margin	14.61%
Operating Margin	23.05%
Gross Margin	61.75%