Key points
- Investment portfolio declined 10.5% in FY2026
- FY2026 full year dividend of 15.5 cents per share, 60% franked
- FY2027 full year dividend target of 8.0 cents per share
- Net tangible asset backing per share decreased by 11.4% in FY2026
Full summary
WAM Capital Ltd reported financial results for the year ended 30 June 2026, showing a significant decline in its investment portfolio performance. The portfolio decreased by 10.5% during the year, underperforming the S&P/ASX All Ordinaries Accumulation Index and the S&P/ASX Small Ordinaries Accumulation Index, which increased by 5.7% and 8.1%, respectively. The decline was driven by sector positioning, stock selection, and broader macroeconomic factors. Despite the underperformance, the company maintained a consistent dividend policy, declaring a final dividend of 7.75 cents per share, partially franked at 60%, bringing the FY2026 full year dividend to 15.5 cents per share, also partially franked at 60%. The company also announced an FY2027 full year dividend target of 8.0 cents per share, comprising an interim dividend of 4.0 cents per share and a final dividend of 4.0 cents per share. This target aims to rebuild the profits reserve and preserve the company's capital base.
Guidance
FY2027 full year dividend target of 8.0 cents per share
Outlook
The Board remains confident in the investment team's approach and long-term track record, expecting the portfolio to benefit from a more supportive environment for undervalued small and medium-sized growth companies.