Harvey Norman Holdings Ltd (ASX: HVN) shares will pay a 20% higher interim dividend this year.
The ASX 200 electronics and home furnishings retailer will pay 12 cents per share, fully franked, to shareholders on 1 May.
If you want to share in the spoils, the window of opportunity is closing.
Harvey Norman shares will go ex-dividend on Wednesday.
This means you need to own the ASX stock by tomorrow's market close to be eligible for the dividend payment.
In its 1H FY25 results, Harvey Norman revealed a 6.6% year-over-year increase in revenue to $2.29 billion.
This contributed to a 22.9% lift in earnings before interest, taxes, depreciation, and amortisation (EBITDA) to $581 million.
The retailer also reported a 41.2% increase in reported profit before tax (PBT) to $400 million.
Underlying PBT lifted 2.2% to $311 million.
Commenting on the results, Chair Gerry Harvey said:
We have made significant strides in enhancing our digital, online, and in-store experiences, alongside the strategic expansion of our global store network and targeted investments in key segments.
Investors in Harvey Norman shares do not just own a piece of an iconic retailer.
They also own a slice of a significant property portfolio.
Harvey Norman revealed that its total assets are now worth $8.25 billion, including $4.39 billion worth of freehold real estate.
The company said its net assets lifted 4.7% during the half to $4.72 billion.
Net assets have been growing at a five-year compound annual growth rate (CAGR) of 7.5%.
Harvey Norman expects the rising use of artificial intelligence to be a tailwind for its electronics division as people upgrade their devices.
Harvey commented:
The continuing innovation and mainstream adoption of Next Gen-AI PCs and devices are expected to drive further sales growth in the Home Appliances, Television, Audio, Mobile & Computer Technology categories through FY 2025 and beyond.
The Harvey Norman share price has fallen 1.2% over the past 12 months but has risen 8.1% in the year to date.
This compares to a 1% lift in the ASX 200 over the past 12 months and a 2.7% decline in the year to date.
The consensus rating among analysts on the CommSec trading platform is a moderate buy.
Of the 14 analysts rating Harvey Norman shares, six say the retailer is a strong buy, and one says it's a moderate buy.
Three say hold, two say the stock is a moderate sell, and two say it's a strong sell.
Goldman Sachs has a sell rating on Harvey Norman with a 12-month share price target of $4.30.
The broker said Harvey Norman's 1H FY25 earnings were stronger than expected.
However, it's concerned about the outlook.
Goldman said:
… we remain of the view that rising competition and a lagging presence in omni-channel as well as an older demographic skew may result in lagging growth in sales vs key industry peers.
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