What are dividends and when do I receive them?
A dividend is a payment made by Hikma to you as a shareholder with the amount based on the company’s profit for the year. Dividends are paid twice yearly usually in May and September and by default are paid to shareholders by cheque. A dividend is paid on each share, so the amount you receive depends on the number of shares you own and the dividend declared. To receive the dividend, your name must be on the share register on the record date. If you purchase shares on or after the ex-dividend date, you will not be entitled to the declared dividend and it will be paid to the previous owner as the trade will not have settled by the record date, and the previous owner will still be showing on the register of members on the record date.
What is the “Record date”?
The record date determines which shareholders will be entitled to the declared dividend. Persons registered as shareholders on the record date will be paid the declared dividend even if they have already sold all or some of their Hikma shares.
What is the “Ex-Dividend” date?
Before announcing each dividend, and in consultation with the London Stock Exchange, a date is set upon which Hikma’s shares will be sold without entitlement to the dividend. This is known as the ex-dividend date and was created to allow a period of transactions to be completed before the record date. If you purchase a share before the ex-dividend date you are entitled to receive the declared dividend. If you purchase shares on or after the ex-dividend date, you will not be entitled to the declared dividend and it will be paid to the previous owner as the trade will not have settled by the record date, and the previous owner will still be showing on the register of members on the record date. The record date and time is currently close of business one business day after the ex-dividend date.
What is Hikma’s dividend policy?
Hikma’s dividends are paid semi-annually and the Company's dividend policy is to target a dividend of between 20 per cent. and 30 per cent. of the Annual Reported Group profits for the financial year after tax, with a long-term average around the mid-point, assuming that there are sufficient distributable reserves available at the time.
Final dividend: Announced early March and paid in May.
Interim dividend: Announced early August and paid in September.
What currency will the dividend be announced in?
Hikma will announce dividends in USD cents per share.
Why will dividends be measured in USD?
The functional currency of Hikma is the USD. This is Hikma’s primary reporting currency and the currency basis on which Hikma is managed. It is therefore logical that Hikma’s dividend will also be measured in USD.
What currency will the dividend be paid in?
Shareholders may elect to receive dividends in Pounds Sterling or Jordanian Dinar. If you have previously made a currency election, the most recent election will continue to apply. In the absence of an election form, the default position is to receive your dividend in Jordanian Dinar if you are located in Jordan and USD if you are located elsewhere in the world.
Shareholders can opt to receive dividends in Pounds Sterling. If you are an overseas shareholder the Registrars are able to pay dividends in several foreign currencies for an administrative charge of £5.00, which is deducted from the payment. You can contact the Registrars for further information. The Registrar retains records of the dividend in currency for each shareholder and only changes them at the shareholder’s request. If you wish to change the currency in which your dividend is paid, please contact the Registrar informing them of your currency selection.
How will the dividend be paid?
Hikma shareholders are able to choose what currency to have their dividend paid in and how to receive it:
Dividend Payments - Currency
The Company declares dividends in US Dollars. Unless you have elected otherwise, you will receive your dividend in US Dollars. Shareholders can also opt to receive dividends in Pounds Sterling or Jordanian Dinar. The Registrar retains records of the dividend in currency for each shareholder and only changes them at the shareholder’s request. If you wish to change the currency in which you receive your dividend, please contact the Registrars.
UK Dividend Payments – Bank Transfer
Shareholders who currently receive their dividend in Sterling by cheque can request a dividend mandate form from the Registrars and have their dividend paid direct into their bank account on the same day as the dividend is paid. A dividend confirmation will be sent direct to the shareholder's registered address.
International Dividend Payments - International Payment System
If you are an overseas shareholder the Registrars are able to pay dividends in several foreign currencies for an administrative charge of £5.00 per transaction, which is deducted from the payment. Contact the Registrars for further information.
When was your most recent dividend paid?
Please see the Dividend Information section on the right.
Where can I find historical dividend information?
Please see the Dividend Information section on the right.
Does Hikma have a dividend reinvestment plan?
At present Hikma does not have a dividend reinvestment plan.
I haven't received my last dividend cheque. Who do I need to contact?
You should contact your Registrars as soon as possible, who can investigate the reason for non-receipt. They will also be able to place a stop against your missing dividend cheque, and will arrange to issue a replacement for which a fee may be payable. You will find their details in the Managing Your Shares section and you will need to quote your investor code which can be found at the top of your share certificate.
What should I do if I’ve found an out-of-date dividend cheque?
Hikma dividend cheques can be cashed within one year of issue. If you return the cheque to the Registrar, and it is found to be outstanding, a duplicate will be issued. However, there may be a fee for this. To make sure that this doesn’t happen again, and you receive your dividend in Sterling, you could arrange for the dividend to be paid directly into your bank or building society account by completing a dividend mandate form.
How do I change my account or address details?
So there’s no delay in receiving your dividend payments, please contact your registrars if your bank or address details change. You can also update your bank and address details online at the share portal provided by Capita at: https://www.hikmashares.com/forms/Home.aspx