Babcock International Group plc
EURO STOXX 600Last update: May 9, 2026 at 09:32
Dividend Safety Rating
BAB.L's dividend shows some areas that warrant monitoring. Strengths include a 11.7% earnings payout ratio & 14.8% fcf payout ratio. Areas of concern: 0.8x current ratio & 8.4% gross margin.
Based on 14 of 15 metrics
Strengths
- Earnings Payout Ratio: 11.7%Low earnings payout ratio leaves room to grow the dividend.
- FCF Payout Ratio: 14.8%Free cash flow comfortably covers the dividend.
- CFO Payout Ratio: 9.9%Operating cash flow strongly supports the payout.
Risks
- Gross Margin: 8.4%Gross margin is low and limits flexibility.
- Profit Margin Stability: UnstableProfit margins have been volatile.
- Dividend Cut: YesDividend was cut or suspended in recent history.
Payout & Coverage
Very SafeBalance Sheet
CautionProfitability
CautionDividend Track Record
DangerAbout Babcock International Group plc
Babcock International Group plc is a British engineering support services company specializing in aerospace, defence, and nuclear sectors. Headquartered in London, it focuses on managing complex assets and infrastructure, primarily serving public bodies such as the United Kingdom's Ministry of Defence and Network Rail, alongside civil contracts. The company operates through four key sectors: Marine, Land, Aviation, and Cavendish Nuclear, delivering through-life technical and engineering support to enhance asset performance, availability, and cost efficiency. Babcock provides frontline support, specialist training, asset management, and designs defence equipment including naval ships, weapons handling systems, secure communications, electronic warfare, and air defence solutions. With a global footprint spanning Africa, North America, South America, Europe, and Australasia, it supports defence, emergency services, energy, transport, and education sectors. Tracing its roots to 19th-century boiler manufacturing, Babcock has evolved into a FTSE 100 constituent, emphasizing sustainability and governance in its strategy to create a safe and secure world. Employing around 26,858 people, it remains a pivotal player in critical national security and infrastructure services.
Dividend Overview
Dividend Yield
0.24%
Annual Dividend
£0.03
Frequency
Annual
Payout Ratio
11.65%
FCF Payout Ratio
14.79%
Stock Price
£10.54
52-Week Range
£8.13 – £15.27
Dividend History (2016–2025)
BAB.L annual dividend per share and yield history
Earnings & Profitability
BAB.L earnings per share and net profit margin
Key Dates
Last Ex-Dividend Date
December 4, 2025
Next Payment Date
—
Dividend Growth
3-Year Dividend CAGR
N/A
5-Year Dividend CAGR
N/A
10-Year Dividend CAGR
-11.65%
3-Year Total Growth
N/A
5-Year Total Growth
N/A
10-Year Total Growth
-71.01%
Income Calculator
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Frequently Asked Questions
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How is BAB.L's Dividend Safety Rating calculated?
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This page is not investment advice. The content is for informational purposes only and should not be construed as a recommendation to buy, sell, or hold any security. Always do your own research and consult a qualified financial advisor before making investment decisions.
Financial data, including dividend history, earnings, balance sheet metrics, and the Dividend Safety Rating, is provided for informational purposes only. Data may be delayed or differ from official filings. Past performance does not guarantee future results. Always verify with official sources before making investment decisions.
Market data provided by Twelve Data.