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Glossary · PSX term

Special dividend.

A special dividend is a one-off payout outside the company's normal dividend schedule.

Definition

Companies pay special dividends after unusual events such as selling an asset or holding excess cash, and they are not expected to repeat. Investors should not treat a special dividend as a recurring income stream.

Worked example

If a company sells a subsidiary and returns the proceeds as a one-time Rs. 15 per share payout, that is a special dividend.

Related on PSX Clarity

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Final dividend
Term
Payout ratio
Term
Dividend yield

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