Ryder Capital Limited (ASX:RYD), a Sydney-based boutique fund manager specialising in small to mid-cap Australasian equities with a high conviction value driven investment strategy, has announced a 10% increase in its final dividend for FY25, rising to 5.5 cents per share fully franked. This decision follows a year of robust financial performance, marked by a 27.5% increase in pre-tax Net Tangible Assets (NTA) and a 20% surge in total comprehensive income, reaching $21.83 million. The company also executed strategic share buybacks, acquiring approximately 1.64 million shares at an average price of $1.25 per share, totaling $2.04 million.
The company’s total distributable profits reserve has reached a record $38.7 million, equivalent to $0.48 per share, a substantial increase from the $0.31 per share recorded in FY24. Of this, $0.46 per share is available for fully franked dividends. Ryder Capital emphasises its strong financial position, which enables it to continue delivering steady to increasing fully franked dividends to its shareholders. The major contributors to the year’s performance were SRG Global Ltd, Fleetwood Ltd and BCI Minerals Ltd.
Ryder Capital’s FY25 investment performance significantly exceeded its hurdle rate and comparable ASX indices. Gross portfolio performance reached 29.45%, surpassing both the company’s absolute return performance hurdle (RBA Cash Rate + 4.25%) and the ASX Small Ordinaries index. The portfolio maintained an average cash exposure of approximately 11.5% throughout the year, allowing for strategic investment opportunities.
The Board’s decision to increase the final dividend reflects the strong investment performance, a positive start to FY26, and a favorable outlook across the Portfolio’s core holdings. The declaration of a 5.5 cents per share fully franked final dividend brings Ryder’s total annual dividend to 10.0 cents per share fully franked.