Gowing Bros Limited (ASX:GOW), the Coffs Harbour-based Investment company that describes itself as a listed family office, offers shareholders a dividend reinvestment plan (DRP). The plan operated for the 3 cent fully franked Interim Dividend for 1H26, with participating shareholders receiving newly issued shares.

Latest developments

Gowing Bros' most recent reported result covers the half-year to the end of January 2026 (1H26). The company narrowed its loss after tax by 57.4% to $0.96 million, while Revenue rose 3.45% to $29.5 million. The company said its shopping centre Assets and investment properties performed in line with or above expectations. Net assets per share, before tax on unrealised gains, rose 6.3% to $4.07.

The board declared a fully franked interim dividend of 3 cents per share, which has since been paid. The company later extended its long-running on-market share buy-back to the end of calendar 2026. It also lodged an investment update on its holding in SpaceX, following the rocket and satellite company's IPO and listing on Nasdaq.

Key numbers

Gowing Bros' two most recent dividends, the 3 cent final for FY25 and the 3 cent interim for FY26, total 6 cents per share, and both were fully franked. The value of franking credits depends on each investor's tax position.

Net assets per share of $4.07 were reported at the end of 1H26. That figure is a point-in-time measure and can change as the valuations of listed, unlisted and property assets move between reporting dates.

About the company

Gowing Bros has a trading history of more than 150 years and has been listed on the ASX for several decades. Executive Chairman and Managing Director John Gowing oversees a diversified portfolio of listed and unlisted equities, private equity, investment properties, property development and cash, with an inter-generational investment horizon.

Its holdings include its Pacific Coast shopping centres (Coffs Central, Port Central and Kempsey Central), the Sawtell Commons residential development, surf Brand Business Surf Hardware International, and stakes in listed companies including Cobram Estate Olives and Carlton Investments. John Gowing is also the company's largest shareholder, with a relevant interest of 41.23% after the DRP allotment for the interim dividend, according to a substantial holding notice.

How the DRP works

Under Gowing Bros' DRP, participating shareholders receive newly Issued Shares instead of cash dividends. For the 1H26 interim dividend, ASX notices lodged by directors and by substantial holder John Gowing confirm that DRP shares were issued, with the issue price set in line with the plan's methodology.

According to the company's recent dividend notices lodged with the ASX, the DRP price is the volume-weighted average price (VWAP) of Gowing Bros shares traded on market over a five-trading-day pricing period, with no discount applied, and DRP shares are newly issued. Shareholders who do not elect to participate receive their dividend in cash. Because the shares are newly issued, the DRP adds modestly to the share count, while the on-market buy-back can reduce it.

Why it matters for income investors

Gowing Bros has paid 3 cents per share per half in recent periods, and its dividends have been fully franked.

The DRP allows participating shareholders to receive additional shares instead of cash, without brokerage. DRP shares are issued at a price set under the plan's VWAP methodology, so the number of shares received depends on the prevailing Market Price during the pricing period. Shares received under the DRP are themselves eligible for any future dividends.

What comes next

Gowing Bros' financial year ended in July 2026, and full-year results had not been released at the time of writing. The result is expected to show how the portfolio, including the SpaceX holding, property assets and Surf Hardware, performed over FY26, and whether the board declares a final dividend.

Any future dividend amount, franking level or DRP terms will be determined by the board and disclosed in a dividend notice. Other areas of focus include progress at Sawtell Commons, the buy-back and any further updates on the valuation of unlisted holdings, which can affect reported Earnings from one period to the next.

Risks and context

Past dividends do not indicate future payments. Gowing Bros reported a net loss after tax of $3.29 million in FY25 and a further loss in 1H26, while continuing to pay fully franked dividends. Management has described the outlook as uncertain, citing geopolitical tensions, inflation, interest rates, tariffs and cost-of-living pressures, and Surf Hardware has faced challenges from tariffs and supply-chain shifts.

Unlisted and private assets can be difficult to value and realise. Reinvested dividends are generally still assessable income, and each DRP parcel sets a new cost base for Capital Gains Tax purposes.

Conclusion

Gowing Bros (ASX:GOW) paid a 3 cent fully franked interim dividend for 1H26 and issued new shares under its DRP, which is priced at a five-day VWAP with no discount. The company narrowed its half-year loss and reported higher net assets per share, while ongoing losses, an uncertain outlook and the pending full-year result remain relevant context.

Key Insights

Gowing Bros (ASX:GOW) has maintained fully franked dividends of 3 cents per share per half, with its DRP issuing new shares at a five-day VWAP and no discount. Its 1H26 result showed a narrower loss after tax, modest revenue growth and higher net assets per share before tax on unrealised gains.

The company continues to report losses at the group level, and management has flagged an uncertain outlook. The FY26 full-year result, the valuation of holdings such as SpaceX, and the board's decision on any final dividend and DRP terms will be set out in future company disclosures.