CME Group (NASDAQ:CME) said today that it will distribute an annual variable dividend of $2.90 on January 12, 2016.
The ex-dividend date is December 28, 2015, the global derivatives marketplace said. The total amount of the payout is $977 million.
The variable dividend scheme was introduced by CME three years ago as a way of determining the amount of excess cash available at the end of each financial year, the company explained in its press release.
Legal Risk Factor Beneath Ripple’s Lawsuit from SECGo to article >>
The “variable” part means that the dividend depends on its operating results at the end of each 12-month period, potential investments, and other types of return on capital.
Over $5.6 Billion Paid out in Dividends since 2012
Since 2012, when the first payment was made, CME Group has distributed a total of over $5.6 billion, including the regular dividend for this financial year, which amounts to $0.50 and will be distributed before the year’s end.
CME Group’s latest financial report, for the third-quarter of 2015, revealed revenues of $850 million, an 11.5 percent annual increase and a 3.7 percent improvement on a quarterly basis.
In terms of trading volumes, the latest report by CME, for the month of November, revealed average daily figures of 13.7 million contracts, up 7 percent on the year, and a million contracts more than in October.