Helia Group Limited (ASX:HLI) released its 2026 half year results on 11 August 2026, declaring an interim ordinary Dividend and a special dividend. Dividend data for the stock shows a combined payment of A$0.430 per share, 37% franking and an Annual Dividend Yield of 24.32%.

Ticker

Type

Dividend amount

Annual yield

Ex date

Record date

Pay date

Franking

ASX:HLI

Interim

$0.430

24.32%

20 Aug 2026

21 Aug 2026

04 Sep 2026

37%

Dividend details

The payment of A$0.430 per share had an ex-date of 20 August 2026, a Record Date of 21 August 2026 and a pay date of 4 September 2026. It comprises a fully franked interim ordinary dividend of 16.0 cents and an unfranked interim Special Dividend of 27.0 cents, which explains the blended franking of about 37%.

The announcement stated that both dividends were unchanged on the prior corresponding period. The special dividend was declared in lieu of 1H26 buy-back activity.

1H26 results behind the dividend

Statutory net profit after tax was A$100.0 million, down 25%, and underlying net profit after tax was A$106.3 million, down 16%. Underlying Diluted Earnings per Share were 38.5 cents, and annualised underlying Return on Equity was 22.2%. The result benefited from negative total claims incurred, although by less than in the prior period, which also had large Investment gains.

Gross Written Premium fell 44% to A$61.6 million, reflecting no new Business from CBA from 31 January 2026 and lower first home buyer new business due to the Government scheme. Insurance Revenue was A$170.6 million, down 6%.

Capital management

Helia targets a stable fully franked ordinary dividend and said it continues to explore Options for returning excess capital. The Board approved a further on-market buy-back of up to A$75 million, which at the closing share price of A$5.12 on 10 August 2026 would represent about 5.3% of shares on issue, or around 14.6 million shares.

Helia’s Prescribed Capital Amount coverage ratio was 2.07 times, against a target range of 1.40 to 1.60 times. The company said this leaves flexibility in its capital mix.

Sector backdrop

Lenders Mortgage insurers earn premiums on high loan-to-value home loans and pay claims when borrowers default. Claims are influenced by interest rates, Unemployment and property prices, and capital held above regulatory requirements can be returned through special dividends and buy-backs.

The release notes that the RBA cash rate was increased to 4.35% in 1H26, unemployment rose to 4.4%, and the LMI market’s gross written premium contracted 14%.

Risks shareholders should weigh

Most of the 43.0 cents is a special dividend, which is not part of the stable ordinary dividend the company targets. A yield calculated on the combined payment may not recur.

New business is shrinking, with gross written premium down 44% and CBA new business ceasing from 31 January 2026. Claims have been unusually low, and the company expects the FY26 claims ratio to stay well below through-the-cycle levels, which may not persist if economic conditions weaken.

The release flags Federal Budget tax changes and a slowing property market as headwinds. The capital return depends on maintaining coverage, and the buy-back may be varied, suspended or terminated. A CEO transition takes effect on 19 October 2026.

What’s next

The company expects FY26 insurance revenue of A$330 million to A$360 million. Shareholders may wish to watch for buy-back activity, full-year results, the CEO transition and the capital management outcome relative to the 1.40 to 1.60 times target range.