Mondi
Website:
Mondi
Index:
FTSE 100
EPIC: MNDI
Supersector:
Basic Resources
Sector:
Forestry and Paper
Subsector:
Paper and Packaging
Market Cap:
£3.35B
Payout Frequency: Semi-Annual
Mondi Dividend Analysis and Summary
Key Dividend Details
- Financial year: FY2025
- Proposed final dividend: 4.92 euro cents per share
- Total ordinary dividend for FY2025: 28.25 euro cents per share (Interim 23.33c + Final 4.92c)
- Ex-dividend date (LSE): Thursday 26/03/2026
- Record date: Friday 27/03/2026
- Payment date: Thursday 07/05/2026
- Currency: Euros; euro/sterling conversion date: 21/04/2026
- Dividend cover: 2.0x (Underlying EPS 56.5c vs total DPS 28.25c)
- Policy guidance: Board “bringing the dividend back in line” with cover policy of 2–3x through the cycle
Context and Financial Support
- Underlying EBITDA: €1,001m (?5% YoY); margin 13.1% (vs 14.1%). Underlying EPS: 56.5c (?32% YoY).
- Cash generation: Cash from operations €1,072m (?11% YoY); working-capital inflow €83m.
- Capex: €673m in 2025; guidance for 2026 cut to ~€550m, prioritising maintenance and cost-optimisation.
- Balance sheet: Net debt €2,599m; net debt/EBITDA 2.6x (vs 1.7x). Liquidity €1,292m; investment-grade ratings intact.
- Financing: April 2026 bond effectively refinanced via Oct 2025 €550m Eurobond; net finance costs expected to rise to ~€125m in 2026.
- ROCE: 6.7% (vs 9.6%). Final dividend subject to AGM approval (24/04/2026).
Dividend Sustainability and Growth Outlook
- Payout reset: Ordinary DPS cut to 28.25c (?~60% YoY vs 70.00c in 2024), explicitly to realign with 2–3x cover policy. Current cover at 2.0x is prudent given lower earnings and higher leverage.
- Cash backing: Strong operating cash flow and a reduction in 2026 capex support the proposed dividend, despite softer margins and rising interest costs.
- Growth trajectory: Near-term dividend growth likely muted until pricing and volumes recover. Management focus on maintenance capex, cost-out and margin discipline suggests stability-first rather than growth. Medium-term upside hinges on ramp-up of recent capacity additions and synergy delivery.
Structural Changes and Implications for Dividends
- Business reorganisation: Corrugated Packaging and Uncoated Fine Paper combined into one unit to streamline costs and deliver synergies—supportive for cash generation over time.
- M&A: Acquisition of Schumacher Packaging’s Western Europe assets (completed 31/03/2025); synergy target increased to €32m over three years. Enhances scale but contributed to higher leverage and integration spend.
- Footprint optimisation: Announced closures of three plants (Turkiye, Hungary, Germany). Near-term special costs but structurally lower costs thereafter.
- Financing profile: Two Eurobonds issued in 2025; April 2026 maturity largely addressed—reduces refinancing risk but elevates interest burden near term.
- Background context: 2024 featured a special dividend and share consolidation following Russian asset sale; current policy emphasis is on covered, through-cycle ordinary dividends.
Risks and Flags to Dividend Stability
- Market cycle: Management notes a “prolonged cyclical downturn”; paper prices modestly lower entering 2026, pressuring margins.
- Leverage and interest costs: Net debt/EBITDA at 2.6x; net finance costs guided up to ~€125m in 2026.
- Low returns: ROCE 6.7% signals capital under-earnings until recovery and synergy benefits flow.
- Operational headwinds: Scheduled maintenance impact (~€100m EBITDA in 2026) and further restructuring costs expected.
- Integration risk: Ongoing integration of Schumacher assets; execution crucial for synergy capture.
- Macro/geopolitics and FX: Ongoing uncertainty; exposure to emerging markets (including hyperinflation accounting in Turkiye).
Read more
Mondi Annual Dividend Yield - 7.8%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 03/04/2025 |
16/05/2025 |
Final |
46.67¢ |
EUX |
| 21/08/2025 |
26/09/2025 |
Interim |
23.33¢ |
EUX |
Total (Annual Dividends Per Share):
60.44p
(Using exchange rate on 30/04/2026
EUR = £0.86341)
Dividend Yield =
Annual Dividends Per Share (60.44p)
÷ Share Price (775.2p)
= 7.8%
Mondi Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 26/03/2026 |
07/05/2026 |
Final |
4.92¢ |
EUX |
| 21/08/2025 |
26/09/2025 |
Interim |
23.33¢ |
EUX |
| 03/04/2025 |
16/05/2025 |
Final |
46.67¢ |
EUX |
| 22/08/2024 |
27/09/2024 |
Interim |
23.33¢ |
EUX |
| 04/04/2024 |
14/05/2024 |
Final |
46.67¢ |
EUX |
| 29/01/2024 |
13/02/2024 |
Special |
160.00¢ |
EUX |
| 24/08/2023 |
29/09/2023 |
Interim |
23.33¢ |
EUX |
| 30/03/2023 |
12/05/2023 |
Final |
48.33¢ |
EUX |
| 25/08/2022 |
29/09/2022 |
Interim |
21.67¢ |
EUX |
| 07/04/2022 |
16/05/2022 |
Final |
45.00¢ |
EUX |
| 26/08/2021 |
30/09/2021 |
Interim |
20.00¢ |
EUX |
| 08/04/2021 |
13/05/2021 |
Final |
41.00¢ |
EUX |
| 20/08/2020 |
29/09/2020 |
1st Interim |
29.75¢ |
EUX |
| 20/08/2020 |
29/09/2020 |
2nd Interim |
19.00¢ |
EUX |
| 02/04/2020 |
14/05/2020 |
Final |
55.72¢ |
EUX |
| 15/08/2019 |
20/09/2019 |
Interim |
27.28¢ |
EUX |
| 11/04/2019 |
16/05/2019 |
Final |
54.55¢ |
EUX |
| 23/08/2018 |
14/09/2018 |
Interim |
21.45¢ |
EUX |
| 03/05/2018 |
25/05/2018 |
Special |
100.00¢ |
EUX |
| 03/05/2018 |
25/05/2018 |
Final |
42.90¢ |
EUX |
| 24/08/2017 |
19/09/2017 |
Interim |
19.10¢ |
EUX |
| 20/04/2017 |
18/05/2017 |
Final |
38.19¢ |
EUX |
| 18/08/2016 |
13/09/2016 |
Interim |
18.81¢ |
EUX |
| 21/04/2016 |
19/05/2016 |
Final |
37.62¢ |
EUX |
| 20/08/2015 |
15/09/2015 |
Interim |
14.38¢ |
EUX |
| 23/04/2015 |
21/05/2015 |
Final |
28.77¢ |
EUX |
| 20/08/2014 |
16/09/2014 |
Interim |
13.23¢ |
EUX |
| 23/04/2014 |
22/05/2014 |
Final |
26.45¢ |
EUX |
| 21/08/2013 |
17/09/2013 |
Interim |
9.55¢ |
EUX |
| 17/04/2013 |
16/05/2013 |
Final |
19.10¢ |
EUX |
| 22/08/2012 |
18/09/2012 |
Interim |
8.90¢ |
EUX |
| 17/04/2012 |
10/05/2012 |
Final |
17.75¢ |
EUX |
| 17/08/2011 |
13/09/2011 |
Interim |
8.25¢ |
EUX |
| 13/04/2011 |
12/05/2011 |
Final |
16.50¢ |
EUX |
| 25/08/2010 |
14/09/2010 |
Interim |
3.50¢ |
EUX |
| 21/04/2010 |
19/05/2010 |
Final |
7.00¢ |
EUX |
| 26/08/2009 |
15/09/2009 |
Interim |
2.50¢ |
EUX |
| 22/04/2009 |
20/05/2009 |
Final |
5.00¢ |
EUX |
| 27/08/2008 |
16/09/2008 |
Interim |
7.70¢ |
EUX |
| 23/04/2008 |
21/05/2008 |
Final |
15.70¢ |
EUX |
| 29/08/2007 |
17/09/2007 |
Interim |
7.30¢ |
EUX |
| Year |
Interim |
Final |
Special |
Currency |
Total |
Change |
| 2024 |
23.330 |
46.670 |
160.000 |
EUX |
230.000 |
885.850 |
| 2023 |
23.330 |
|
|
EUX |
23.330 |
-79.710 |
| 2022 |
21.670 |
93.330 |
|
EUX |
115.000 |
88.520 |
| 2021 |
20.000 |
41.000 |
|
EUX |
61.000 |
-41.610 |
| 2020 |
|
55.720 |
|
EUX |
104.470 |
27.660 |
| 2019 |
27.280 |
54.550 |
|
EUX |
81.830 |
-50.200 |
| 2018 |
21.450 |
42.900 |
100.000 |
EUX |
164.350 |
186.870 |
| 2017 |
19.100 |
38.190 |
|
EUX |
57.290 |
1.520 |
| 2016 |
18.810 |
37.620 |
|
EUX |
56.430 |
30.770 |
| 2015 |
14.380 |
28.770 |
|
EUX |
43.150 |
8.740 |
| 2014 |
13.230 |
26.450 |
|
EUX |
39.680 |
38.490 |
| 2013 |
9.550 |
19.100 |
|
EUX |
28.650 |
7.500 |
| 2012 |
8.900 |
17.750 |
|
EUX |
26.650 |
7.670 |
| 2011 |
8.250 |
16.500 |
|
EUX |
24.750 |
135.710 |
| 2010 |
3.500 |
7.000 |
|
EUX |
10.500 |
40.000 |
| 2009 |
2.500 |
5.000 |
|
EUX |
7.500 |
-67.940 |
| 2008 |
7.700 |
15.700 |
|
EUX |
23.400 |
220.540 |
| 2007 |
7.300 |
|
|
EUX |
7.300 |
|
Mondi Dividend Calculator
Mondi Dividend Growth
| Dividend Growth (1Y) |
-58.93%
|
| Dividend CAGR (5Y) |
-22.69%
|
| Years of Growth |
–
|
| Payout Ratio |
184.85%
|
| Buyback Yield |
0.74%
|
| Shareholder Yield |
4.07%
|
| P/E Ratio (TTM) | 23.17 |
|---|
| Forward P/E | 20.95 |
|---|
| P/FCF | 14.52 |
|---|
| Earnings Yield | 4.32% |
|---|
| FCF Yield | 6.88% |
|---|
| ROE | 3.73% |
|---|
| ROCE | 4.88% |
|---|
| Profit Margin | 2.15% |
|---|
| Operating Margin | 5.29% |
|---|
| Gross Margin | 40.55% |
|---|