Cash Dividend for SGX-Listed Companies

wupeicong11
Apr 12
4 min read

Updated: Apr 16

This article is a follow-up to our previous guide, “Cash Dividend in Singapore – A Guide for Companies, Directors, and Shareholders.” Here, we focus specifically on SGX-listed companies, outlining the key steps and considerations for declaring and distributing dividends.

Disclosure requirements

Reference: Mainboard Rule 704(24) / Catalist Rule 704(23)

Items that need to be disclosed in dividend announcement, where applicable:

Rate and amount per share
Date of payment
Dividend type (Tax exempt one-tier)
Material variation in dividend compared to the previous corresponding period
Reasons why directors decided not to recommend/ declare dividend

In practice, dividend per share and total dividend amount would be disclosed. Directors may decide to retain funds for business expansion or conserve cash in anticipation of market headwinds. Reasons for decision must be disclosed in results announcements and annual report.

Dividend accompanied by financial statements

Reference: Mainboard Rule 704(25) / Catalist Rule 704(24)

Issuer must not announce the passing of dividend unless it is accompanied by the financial statements (as set out in Appendix 7.2 or 7C).

Consider ABC Limited with financial year ended 31 December 20x2 which broadcast its results announcement on the SGXNet half-yearly:

Dividend declaration date	Accompanied by financial statements for:
18 February 20x3	FY20x2
12 May 20x3	1Q 20x3
10 July 20x3	1H 20x3

Can ABC Limited declare an interim dividend in relation to 1H 20x3 on 8 November 20x3?

No, unless ABC Limited announced its 3Q 20x3 financial statements in format stipulated in Appendix 7.2 or 7C.

The above is according to Practice Note 7.7 or 7G (3.3) which states that no company must announce dividend in relation to the 1st or 3rd quarters of the financial year, unless the company announced its 1st or 3rd quarter financial statements.

Exception (Practice Note 7.7 or 7G (3.4)) – Companies can announce dividend without announcing financial results for the relevant period is permissible if certain conditions are met. One of these conditions is a need to have committed dividend policy to declare dividend quarterly that is communicated to shareholders.

Restricted period (i.e. Period when dividend announcement cannot be made)

Reference: Practice Note 7.7 or 7G (3.2)

Restricted period for announcement/ passing of dividend – After the end of first 3 quarters and full financial year until the financial statements for the first 3 quarters or full financial year are announced.

In relation to:	FS announcement date	Restriction period
FY20x2	18 February 20x3	1 January 20x3 - 18 February 20x3
1Q 20x3	12 May 20x3	1 April 20x3 - 12 May 20x3
1H 20x3	28 July 20x3	1 July 20x3 - 28 July 20x3

The above applies regardless of whether the company releases results announcement half-yearly or quarterly.

Record date (a.k.a Books closure date)

Reference: Mainboard Rule 704(26) & 704(27) / Catalist Rule 704(25) & 704(26)

Record date for dividend:

Last day of trading on a cum basis falls at least 1 day after the AGM (Applicable to final dividend)
At least 5 market dates of notice (excluding announcement date and record date)
Must not fix a record date until at least 8 market days after previous record date

For illustration:

Date	Event
2 May 2025 (Friday)	Announcement of record date
-	5 market days + 2 Saturday/ Sunday + 1 public holiday
13 May 2025 (Tuesday)	Record date
-	4 market days + 1 Saturday/ Sunday
20 May 2025 (Tuesday)	Dividend payment date (Payment from The Central Depository (Pte) Limited (CDP) to shareholders)

1 or 2 workings days after record date, the Exchange would notify the company of the payment instruction. Dividends in Singapore dollars must be credited to CDP’s designated bank account before 10.00am on dividend payment date.

Code of Corporate Governance 2018 (the “Code”)

According to provision 11.6 of the Code, an SGX-listed company needs to have a dividend policy and communicates it to shareholders.

Purpose of/ Points to take note when drafting a dividend policy:

Explains how the cash generated by the company is allocated, considering objectives, risks and constraints.
Helps investors in assessing the company’s expectations of future cash flows and how it is to be utilised.
Helps investors in assessing the company’s ability and propensity to use cash flows to pay dividends, and thus the suitability of the company’s shares as an investment to the investors.
Encourage the company to exercise greater financial discipline and consistency in the distribution of dividends.

In addition to communicating reasons why a dividend is not recommended or declared, the Code requires companies to also identify and disclose the circumstances that would allow them to declare a dividend in future.

Disclaimer: While this guide provides detailed information on dividend procedures and timelines for listed companies, it is not a substitute for professional advice. For specific or complex situations, please consult your company secretary, share registrar or legal counsel.

Expert Corporate Secretarial Support for Listed Companies

Our seasoned corporate secretarial leaders bring deep expertise in listed company governance, ensuring regulatory compliance and efficient board operations.

How We Add Value:

✅ Regulatory & Compliance Assurance – Expert navigation of listing rules, governance codes and securities regulations.

✅Board & Governance Excellence – Streamlined board meetings, AGMs/ EGMs, precise documentation and disclosures.

✅ Investor & Shareholder Relations – Proactive management of proxy voting, regulatory filings and shareholder communications.

✅ IPO & Complex Transactions – Proven support for listings, mergers, restructuring, and other strategic corporate actions.

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We offer cost-efficient, flexible, scalable solutions — whether on an ongoing retainer or ad-hoc project basis — for better distribution of workload, budget optimisation while ensuring seamless compliance.

Let’s discuss how we can help. Contact Us / Schedule a Call

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References:

This article is a follow-up to our previous guide, “Cash Dividend in Singapore – A Guide for Companies, Directors, and Shareholders.” Here, we focus specifically on SGX-listed companies, outlining the key steps and considerations for declaring and distributing dividends.

Disclosure requirements

Reference: Mainboard Rule 704(24) / Catalist Rule 704(23)

Items that need to be disclosed in dividend announcement, where applicable:

Rate and amount per share

Date of payment

Dividend type (Tax exempt one-tier)

Material variation in dividend compared to the previous corresponding period

Reasons why directors decided not to recommend/ declare dividend

In practice, dividend per share and total dividend amount would be disclosed. Directors may decide to retain funds for business expansion or conserve cash in anticipation of market headwinds. Reasons for decision must be disclosed in results announcements and annual report.

Dividend accompanied by financial statements

Reference: Mainboard Rule 704(25) / Catalist Rule 704(24)

Issuer must not announce the passing of dividend unless it is accompanied by the financial statements (as set out in Appendix 7.2 or 7C).

Consider ABC Limited with financial year ended 31 December 20x2 which broadcast its results announcement on the SGXNet half-yearly:

Dividend declaration date

Accompanied by financial statements for:

18 February 20x3

FY20x2

12 May 20x3

1Q 20x3

10 July 20x3

1H 20x3

Can ABC Limited declare an interim dividend in relation to 1H 20x3 on 8 November 20x3?

No, unless ABC Limited announced its 3Q 20x3 financial statements in format stipulated in Appendix 7.2 or 7C.

The above is according to Practice Note 7.7 or 7G (3.3) which states that no company must announce dividend in relation to the 1st or 3rd quarters of the financial year, unless the company announced its 1st or 3rd quarter financial statements.

Restricted period (i.e. Period when dividend announcement cannot be made)

Reference: Practice Note 7.7 or 7G (3.2)

Restricted period for announcement/ passing of dividend – After the end of first 3 quarters and full financial year until the financial statements for the first 3 quarters or full financial year are announced.

In relation to:

FS announcement date

Restriction period

FY20x2

18 February 20x3

1 January 20x3 - 18 February 20x3

1Q 20x3

12 May 20x3

1 April 20x3 - 12 May 20x3

1H 20x3

28 July 20x3

1 July 20x3 - 28 July 20x3

The above applies regardless of whether the company releases results announcement half-yearly or quarterly.

Record date (a.k.a Books closure date)

Reference: Mainboard Rule 704(26) & 704(27) / Catalist Rule 704(25) & 704(26)

Record date for dividend:

Last day of trading on a cum basis falls at least 1 day after the AGM (Applicable to final dividend)

At least 5 market dates of notice (excluding announcement date and record date)

Must not fix a record date until at least 8 market days after previous record date

For illustration:

Date

Event

2 May 2025 (Friday)

Announcement of record date

-

5 market days + 2 Saturday/ Sunday + 1 public holiday

13 May 2025 (Tuesday)

Record date

-

4 market days + 1 Saturday/ Sunday

20 May 2025 (Tuesday)

Dividend payment date

(Payment from The Central Depository (Pte) Limited (CDP) to shareholders)

1 or 2 workings days after record date, the Exchange would notify the company of the payment instruction. Dividends in Singapore dollars must be credited to CDP’s designated bank account before 10.00am on dividend payment date.

Code of Corporate Governance 2018 (the “Code”)

According to provision 11.6 of the Code, an SGX-listed company needs to have a dividend policy and communicates it to shareholders.

Purpose of/ Points to take note when drafting a dividend policy:

Explains how the cash generated by the company is allocated, considering objectives, risks and constraints.

Helps investors in assessing the company’s expectations of future cash flows and how it is to be utilised.

Helps investors in assessing the company’s ability and propensity to use cash flows to pay dividends, and thus the suitability of the company’s shares as an investment to the investors.

Encourage the company to exercise greater financial discipline and consistency in the distribution of dividends.

In addition to communicating reasons why a dividend is not recommended or declared, the Code requires companies to also identify and disclose the circumstances that would allow them to declare a dividend in future.

Disclaimer: While this guide provides detailed information on dividend procedures and timelines for listed companies, it is not a substitute for professional advice. For specific or complex situations, please consult your company secretary, share registrar or legal counsel.

Expert Corporate Secretarial Support for Listed Companies

Our seasoned corporate secretarial leaders bring deep expertise in listed company governance, ensuring regulatory compliance and efficient board operations.

How We Add Value:

✅ Regulatory & Compliance Assurance – Expert navigation of listing rules, governance codes and securities regulations.

✅Board & Governance Excellence – Streamlined board meetings, AGMs/ EGMs, precise documentation and disclosures.

✅ Investor & Shareholder Relations – Proactive management of proxy voting, regulatory filings and shareholder communications.

✅ IPO & Complex Transactions – Proven support for listings, mergers, restructuring, and other strategic corporate actions.

Is your in-house team or current provider stretched thin?

We offer cost-efficient, flexible, scalable solutions — whether on an ongoing retainer or ad-hoc project basis — for better distribution of workload, budget optimisation while ensuring seamless compliance.