Travis Perkins
Website:
Travis Perkins
Index:
FTSE 250
EPIC: TPK
Supersector:
Industrial Goods and Services
Sector:
Support Services
Subsector:
Industrial Suppliers
Market Cap:
£1.11B
Payout Frequency: Semi-Annual
Travis Perkins Dividend Analysis and Summary
Key Dividend Details
- Proposed final dividend: 7.5p per share (FY24: 9.0p), bringing the FY25 total to 12.0p (FY24: 14.5p), a 17.2% reduction YoY.
- Policy: payout of 30–40% of adjusted earnings. FY25 adjusted EPS: 30.8p ? implied payout c. 39%; dividend cover c. 2.6x.
- Ex-dividend date: 16/04/2026; Record date: 17/04/2026; Payment date: 28/05/2026.
- Estimated cash cost of proposed final dividend: £15.8m; total dividends paid in FY25: £28.6m.
- Dividend Reinvestment Plan available; DRIP election deadline: 06/05/2026.
Dividend Sustainability and Growth Outlook
- Cover and policy alignment: FY25 DPS of 12.0p is within the 30–40% payout range and covered ~2.6x by adjusted EPS (30.8p), indicating adequate earnings cover despite lower profits.
- Cash support: Strong FY25 free cash flow of £206m versus total dividends of £28.6m, and liquidity headroom of ~£803m. However, FY25 cash benefited from a £136m working-capital inflow that is unlikely to repeat, tempering forward cash cover.
- Balance sheet: Net debt/adjusted EBITDA improved to 2.1x (target range 1.5–2.0x), and net cash before leases of £1m provides resilience. No significant refinancing until 2028.
- Earnings trajectory: Adjusted operating profit fell 12.5% YoY and adjusted EPS declined to 30.8p; market backdrop remains subdued, and interest expense will be ~£6m higher in 2026 with lower property profits guided (~£5m vs £10m in 2025). Near-term dividend growth therefore appears constrained until earnings recover.
Structural and Policy Considerations
- Portfolio actions: Disposal of Staircraft (30/04/2025) and significant impairments (Merchanting branches, CCF goodwill; Toolstation Benelux) reflect a refocus on core operations; largely non-cash but signal tougher end markets.
- Leadership: New CEO Gavin Slark (from 1 Jan 2026) and tighter organisational structure may sharpen execution; dividend policy unchanged at 30–40% of adjusted earnings.
- Financing: £250m February 2026 bond fully refinanced via investment-grade US private placement notes; staggered maturities 2028–2035 reduce refinancing risk.
- Capital allocation: Continued disciplined capex (base c.£80m guided for 2026) and focus on deleveraging support ongoing capacity to fund the dividend.
Risks and Flags to Dividend Stability
- Market weakness: Prolonged softness in UK construction and price deflation in Merchanting could pressure margins and earnings, limiting dividend growth.
- One-off cash tailwinds: FY25 cash generation was boosted by non-recurring working-capital inflows; unwind could reduce free cash flow in 2026.
- Toolstation Europe: Benelux losses expected to persist in 2026; strategic review ongoing. While relatively small, continued drag on group profitability is a watchpoint.
- Cost and interest headwinds: £6m higher interest expense in 2026 and lower property gains may dampen earnings and cover.
- Impairments and restructuring: While largely non-cash, the £222m adjusting items and 196 branch impairments highlight structural challenges in certain segments.
Read more
Travis Perkins Annual Dividend Yield - 2.56%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 17/04/2025 |
29/05/2025 |
Final |
9.00p |
GBX |
| 02/10/2025 |
07/11/2025 |
Interim |
4.50p |
GBX |
Total (Annual Dividends Per Share):
13.50p
Dividend Yield =
Annual Dividends Per Share (13.50p)
÷ Share Price (527.5p)
= 2.56%
Travis Perkins Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 16/04/2026 |
28/05/2026 |
Final |
7.5000p |
GBX |
| 02/10/2025 |
07/11/2025 |
Interim |
4.50p |
GBX |
| 17/04/2025 |
29/05/2025 |
Final |
9.00p |
GBX |
| 03/10/2024 |
08/11/2024 |
Interim |
5.50p |
GBX |
| 28/03/2024 |
09/05/2024 |
Final |
5.50p |
GBX |
| 05/10/2023 |
10/11/2023 |
Interim |
12.50p |
GBX |
| 06/04/2023 |
18/05/2023 |
Final |
26.50p |
GBX |
| 06/10/2022 |
11/11/2022 |
Interim |
12.50p |
GBX |
| 31/03/2022 |
13/05/2022 |
Final |
26.00p |
GBX |
| 30/09/2021 |
05/11/2021 |
Special |
35.00p |
GBX |
| 30/09/2021 |
05/11/2021 |
Interim |
12.00p |
GBX |
| 02/04/2020 |
13/05/2020 |
Final |
33.00p |
GBX |
| 03/10/2019 |
08/11/2019 |
Interim |
15.50p |
GBX |
| 04/04/2019 |
17/05/2019 |
Final |
31.50p |
GBX |
| 04/10/2018 |
09/11/2018 |
Interim |
15.50p |
GBX |
| 05/04/2018 |
11/05/2018 |
Final |
30.50p |
GBX |
| 28/09/2017 |
10/11/2017 |
Interim |
15.50p |
GBX |
| 13/04/2017 |
26/05/2017 |
Final |
29.75p |
GBX |
| 06/10/2016 |
08/11/2016 |
Interim |
15.25p |
GBX |
| 28/04/2016 |
27/05/2016 |
Final |
29.25p |
GBX |
| 08/10/2015 |
10/11/2015 |
Interim |
14.75p |
GBX |
| 30/04/2015 |
01/06/2015 |
Final |
25.75p |
GBX |
| 09/10/2014 |
11/11/2014 |
Interim |
12.25p |
GBX |
| 30/04/2014 |
30/05/2014 |
Final |
21.00p |
GBX |
| 09/10/2013 |
11/11/2013 |
Interim |
10.00p |
GBX |
| Year |
Interim |
Final |
Special |
Currency |
Total |
Change |
| 2024 |
5.500 |
|
|
GBX |
5.500 |
-87.640 |
| 2023 |
12.500 |
32.000 |
|
GBX |
44.500 |
256.000 |
| 2022 |
12.500 |
|
|
GBX |
12.500 |
-82.870 |
| 2021 |
12.000 |
26.000 |
35.000 |
GBX |
73.000 |
121.210 |
| 2020 |
|
33.000 |
|
GBX |
33.000 |
-29.780 |
| 2019 |
15.500 |
31.500 |
|
GBX |
47.000 |
2.170 |
| 2018 |
15.500 |
30.500 |
|
GBX |
46.000 |
1.650 |
| 2017 |
15.500 |
29.750 |
|
GBX |
45.250 |
1.680 |
| 2016 |
15.250 |
29.250 |
|
GBX |
44.500 |
9.870 |
| 2015 |
14.750 |
25.750 |
|
GBX |
40.500 |
21.800 |
| 2014 |
12.250 |
21.000 |
|
GBX |
33.250 |
232.500 |
| 2013 |
10.000 |
|
|
GBX |
10.000 |
|
Travis Perkins Dividend Calculator
Travis Perkins Dividend Growth
| Dividend Growth (1Y) |
-17.24%
|
| Dividend CAGR (5Y) |
-23.89%
|
| Years of Growth |
1
|
| Payout Ratio |
–
|
| Buyback Yield |
-0.28%
|
| Shareholder Yield |
2.01%
|
| P/E Ratio (TTM) | – |
|---|
| Forward P/E | 16.69 |
|---|
| P/FCF | 3.63 |
|---|
| Earnings Yield | -16.1% |
|---|
| FCF Yield | 27.53% |
|---|
| ROE | -9.4% |
|---|
| ROCE | 4.45% |
|---|
| Profit Margin | -3.86% |
|---|
| Operating Margin | 2.74% |
|---|
| Gross Margin | 26.13% |
|---|