Keppel FY2025 Dividend Guide: What Shareholders Need to Know
Keppel recently released its FY2025 financial results, and many shareholders are confused by the announcement. Between ordinary dividends, special dividends, REIT distributions, and corporate jargon, it can be hard to understand what you will actually receive.
This guide breaks everything down in plain English so Keppel shareholders know exactly:
- How much dividend you are getting
- When you will receive it
- What the REIT distribution means
- What the company results mean for future investors
How Much Dividend Are Keppel Shareholders Getting?
Total FY2025 Dividend: About 47 cents per share
Keppel announced that shareholders will receive approximately 47 cents per share for FY2025.
1. Ordinary Dividend — 34 cents per share
This is the normal yearly dividend paid from business profits.
- 15 cents interim dividend (already paid in Aug 2025)
- 19 cents final dividend (coming soon)
Total ordinary dividend = 34 cents
2. Special Dividend — About 13 cents per share
This is a bonus dividend linked to Keppel selling assets.
- 2 cents cash
- 1 Keppel REIT unit for every 9 Keppel shares (estimated value about 11 cents per share)
Total special dividend ≈ 13 cents
Upcoming Dividends (Still Coming)
If you are holding Keppel shares now and remain eligible:
Cash You Will Receive
- 19 cents final ordinary dividend
- 2 cents special cash dividend
Total upcoming cash = 21 cents per share
Additional REIT Units
You will receive 1 Keppel REIT unit for every 9 shares you hold.
Important Dates
- Ex-dividend date: 27 April 2026
- Payment date: 8 May 2026
You must hold Keppel shares before the ex-dividend date to receive the dividend.
Example: How Much Will You Get?
If you own 1,000 Keppel shares:
Cash Dividend
21 cents × 1,000 shares = $210 cash
REIT Units
1 unit per 9 shares = 111 Keppel REIT units
The final value depends on REIT market price.
Why Is Keppel Giving REIT Units Instead of All Cash?
This is called a dividend in-specie. Instead of paying all cash, Keppel gives investors shares in another investment (Keppel REIT).
Benefits include:
- You receive additional income-producing assets
- REITs usually pay regular dividends
- Keppel can recycle capital while rewarding shareholders
Why Keppel Can Pay Higher Dividends
Keppel’s business has changed significantly. The company is moving from owning heavy industrial assets to becoming a global asset manager and infrastructure operator.
In FY2025:
- Net profit rose 39% to $1.1 billion
- Recurring income increased 21%
- Return on equity improved to 18.7%
Keppel’s Business Strategy (Simple Explanation)
Infrastructure
Includes power generation and sustainability solutions. This is currently the largest profit contributor.
Real Estate & Asset Management
Managing funds and properties for investors globally.
Connectivity & Digital Infrastructure
Includes data centres and fibre networks supporting AI and cloud growth.
The Special Dividend Strategy Explained
Keppel has been selling older or non-core assets.
Since 2020, about $14.5 billion worth of assets have been monetised.
The company plans to:
- Return part of these sale proceeds to shareholders
- Continue paying special dividends until this programme ends
Risks Shareholders Should Watch
Remaining Asset Sales
About $13.5 billion of non-core assets still need to be sold.
Property & Market Conditions
Real estate valuations and economic conditions may affect profits.
M1 Telco Sale
The proposed telecom business sale may create accounting losses but could generate future cash.
What Analysts Are Saying
Analysts believe Keppel is becoming a more stable, fee-based asset manager with stronger recurring income. The company currently offers around a 4.3% dividend yield.
Summary: What Keppel Shareholders Should Remember
- Total FY2025 dividend ≈ 47 cents per share
- Upcoming unpaid portion ≈ 32 cents per share
- Cash portion coming ≈ 21 cents per share
- Additional REIT units will also be given
- Must hold shares before ex-dividend date
- Special dividends depend on asset sales
Final Thoughts
Keppel is transforming into a global asset manager focused on infrastructure, real estate, and digital connectivity. This transition is improving profit quality and supporting both regular and special dividends.
For shareholders, FY2025 is a strong year with higher returns and additional REIT distributions. However, future special dividends will depend on the company successfully completing its asset monetisation strategy.
