Global dividends reached a record $1.75 trillion in 2024, marking a 6.6% increase on an underlying basis, according to the Janus Henderson Global Dividend Index. The headline growth of 5.2% was tempered by lower one-off special dividends and a stronger US dollar.
Seventeen countries, including the US, Canada, France, Japan, and China, reported record dividend payouts. Notably, companies initiating dividends for the first time, such as Meta, Alphabet, and Alibaba, contributed $15.1 billion, accounting for one-fifth of the global dividend growth in 2024.
The financial sector, particularly banks, was a significant contributor, with dividends rising 12.5% on an underlying basis. The media sector also grew substantially, influenced by new payouts from companies like Meta and Alphabet. Conversely, the mining and transport sectors experienced declines, collectively paying $26 billion less year-on-year.
Microsoft remained the largest dividend payer globally, with Exxon, following its acquisition of Pioneer Resources, rising to the second position—a status it last held in 2016. Overall, 88% of companies worldwide either increased or maintained their dividends, with a median increase of 6.7%.
Looking ahead, Janus Henderson forecasts a 5.0% headline growth in global dividends for 2025, potentially reaching a new record of $1.83 trillion. This projection considers factors such as potential trade tensions and high government borrowing, which could introduce market volatility. Nevertheless, company earnings are anticipated to rise, supporting continued dividend growth.
In the United States, dividends grew by 8.6% in the second quarter of 2024, totaling $161.5 billion. This increase was significantly influenced by Alphabet and Meta Platforms initiating dividends, contributing nearly $4 billion to the total. Microsoft led US dividend payouts with $5.6 billion, followed by Apple with $3.8 billion.
However, not all regions mirrored this growth. In Australia, dividends fell by 6.4% to $56.6 billion, with key companies reducing payouts amid economic pressures, underperforming compared to other major markets.
Despite these regional variances, the overall trend indicates a robust global dividend landscape, with many companies returning substantial capital to shareholders.
