Henderson International Income (HINT) dividend

[nmdhqbc]

https://www.investegate.co.uk/henderson ... 38273006Q/

Henderson International Income Trust plc has declared a fourth interim dividend of 1.80p per ordinary share in respect of the year ended 31 August 2021 payable on 30 November 2021 to shareholders registered on 5 November 2021.

5% increase for the year. HINT normally keeps to at least the new level of dividend in the proceeding quarters but if they kept it up at 1.8p next year that would be a 14.29% increase by my calculations. seems very high. what do folks think? will this happen or do you think it will be re-set lower in Q1 next year?

[Wuffle]

I have observed and noted hereabouts that HINT has been building up its reserve over the last few years.
(Nice visual on the front page of the company website).
Makes sense, HINT is only a decade old.
Last years dividend carnage was easily absorbed.
They might well feel confident of inching the pay-out up a bit.
Hope so, the package appeals to me.

W.

[dundas666]

If they maintained that quarterly increase next year from 1.5p to 1.8p, then that would increase the yield from 3.63% to 4.36% based on today's share price.

According to the AIC they also have a 5 year average annual dividend increase (presumably not including this one!) of 5.92% which is pretty decent.

Not the best total return in the sector however (5th out of 7) but dividend is almost covered by income so they're not relying on growth like JGGI and IVPG to pay it.

[mc2fool]

(Nice visual on the front page of the company website)

?
https://www.janushenderson.com/en-gb/investor/product/henderson-international-income-trust-plc/

[PhaseThree]

(Nice visual on the front page of the company website)

?
https://www.janushenderson.com/en-gb/investor/product/henderson-international-income-trust-plc/

Second graphic from the top "Revenue and dividend history" shows the retained income for the last 9 years. 2020 was the only year they had to dig into these reserves and even then by less than the value retained in 2019.

[nmdhqbc]

didn't take long to find out. annual report...

https://www.investegate.co.uk/henderson ... 14063318Q/

The board has reviewed your Company's dividend policy and the preferences of current and prospective investors, and concluded that investors would prefer to receive a greater proportion of HINT's total return by way of an enhanced dividend. Accordingly, your board is increasing the fourth interim dividend by 20% to 1.80p per share for the quarter ended 31 August 2021 and will continue its commitment to an attractive, progressive dividend going forward. Dividends from the portfolio will remain an important contribution to the Company's distributions, but to the extent that, in any year, dividends are not fully covered by underlying revenue, your board will utilise realised capital gains. This will give shareholders confidence around future distributions and the investment team flexibility to invest in the most attractive opportunities. The board believes that the investment strategy and approach followed by our manager will deliver the best total return over the medium to long term in a combination of income and capital growth.

[mike]

A very nice increase in 1st quarterly dividend, up from 1.5p to 1.8p

https://www.investegate.co.uk/henderson-int-income--hint-/rns/dividend-declaration/202201251653436120Z/

Last year (ending 31/8) there were three quarterlies at 1.5 and a final of 1.8p, giving a total of 6.3p for the year. If there are the 4 quarterlies matching the first at 1.8p, this gives a full year of 7.2p, an increase of 14%.

Be interesting to see how MYI's final compare when their FY 2021 results are released in March


For holders, ex-div 3 Feb, paid 28 Feb.

[Arborbridge]

A very nice increase in 1st quarterly dividend, up from 1.5p to 1.8p

https://www.investegate.co.uk/henderson-int-income--hint-/rns/dividend-declaration/202201251653436120Z/

Last year (ending 31/8) there were three quarterlies at 1.5 and a final of 1.8p, giving a total of 6.3p for the year. If there are the 4 quarterlies matching the first at 1.8p, this gives a full year of 7.2p, an increase of 14%.

Be interesting to see how MYI's final compare when their FY 2021 results are released in March


For holders, ex-div 3 Feb, paid 28 Feb.

HINT is outrunning MYI at present with roughly twice the dividend growth over five years, although the yield is lower. I have a mixture of both!

Arb.

[nmdhqbc]

A very nice increase in 1st quarterly dividend, up from 1.5p to 1.8p

https://www.investegate.co.uk/henderson-int-income--hint-/rns/dividend-declaration/202201251653436120Z/

Last year (ending 31/8) there were three quarterlies at 1.5 and a final of 1.8p, giving a total of 6.3p for the year. If there are the 4 quarterlies matching the first at 1.8p, this gives a full year of 7.2p, an increase of 14%.

Be interesting to see how MYI's final compare when their FY 2021 results are released in March


For holders, ex-div 3 Feb, paid 28 Feb.

if you look at posts above you'll see that a lot of the rise is due to a change in policy rather than the underlying investments doing that well with their dividend increases. It seems to be going to more of an MYI policy. cover seems to hover around 1.00 for MYI but until now HINT always had decent cover of 1.06 and above from memory. pre-covid that is. more jam today. i assume future divi increases should be at least a little lower than what might have happened without the policy change.

[richfool]

Yes, ironically, I topped up on HINT first thing yesterday with the residue of the proceeds of some growth IT's I had previously sold.

I was looking through HINT's last Accounts and liked what I saw about them drawing upon capital or reserves to keep the dividend up. Also a point the manager made about the trust having a much wider pool of global dividend stocks to fish in than being dependent upon UK FTSE100 stocks, (as it is a global excluding UK trust).

Accordingly, your board is increasing the fourth
interim dividend by 20% to 1.80p per share for the quarter
ended 31 August 2021 and will continue its commitment to
an attractive, progressive dividend going forward. Dividends
from the portfolio will remain an important contribution to the
Company’s distributions, but to the extent that, in any year,
dividends are not fully covered by underlying revenue, your
board will utilise realised capital gains. This will give
shareholders confidence around future distributions and the
investment team flexibility to invest in the most attractive
opportunities.

https://www.fundslibrary.co.uk/FundsLib ... L7NuNp&r=1