Dividend Income Update: March & April 2014

Dripping Maple Goodness

As a way of tracking my progress towards financial freedom I total up the dividends I receive each month. The end goal is to have my dividends cover my expenses. This is a long term goal, so I have a lot of years to go, but I find it encouraging to see my dividend income steadily rise over time. This reminds me that I’m on the right track and to stick with it. Here are the results for March and April.

My dividend income for March 2014:

March Canadian Dividend Income

Total March Canadian Dividend Income – $154.04

March US Dividend Income

Total March US Dividend Income – $185.66

My dividend income for April 2014:

April Canadian Dividend Income

Total April Canadian Dividend Income – $210.00

April US Dividend Income

Total April US Dividend Income – $34.68

March and April were good months for me, as a number of my holdings either announced dividend increases or had previously announced dividends come into effect.

  • Pepsi increased its quarterly dividend 15.4% from $0.5675 to $0.655 with the increased dividend paid out in June. You’ll notice that my Pepsi dividend income is slighlty lower than previous quarters. This is because I moved the shares held in my taxable DRIP account into my RRSP. The transfer resulted in the dividends from my taxable account being missed, but now that the transfer is complete I expect my Pepsi dividends to jump back up to normal levels.
  • Altagas increased its monthly dividend from $0.1275 to $0.1475 a 15.7% increase. The increase will take effect with the dividend paid in June.
  • Enbridge announced a few months back that it was increasing the quarterly dividend 11.1% from $0.315 to $0.35. March was the first month this increase kicked in, so I was happy for the extra money.
  • Suncor previously announced a dividend increase of 15% and they started paying out the increased dividend of $0.23 per share in March.
  • Fortis previously announced a dividend increase of 3.2% and they started paying out the increased dividend of $0.32 per share in March.
  • SNC Lavalin previously announced a dividend increase of 4.3% and they started paying out the increased dividend of $0.24 per share in April. My yield on cost for this stock is low at 2.5% considering I’ve owned this stock for a couple of years. My capital gain on the stock is 32%, which is decent, but not why I bought the stock. I’m hoping dividend growth picks up, as I originally bought this stock as a low yielding high dividend growth stock. Since I bought it, dividend growth has been around 4% to 5% per year. I bought this stock after the company was accused of bribery and fraud. The price had dropped significantly and I thought they would recover from the scandal, so I bought some shares. Prior to the scandal they had double digit dividend growth. I wasn’t expecting strong dividend growth after the scandal, but I was hoping for a quicker recovery than I’ve seen. While dividend growth hasn’t been what I wanted, I still plan to hold onto the shares.
  • Johnson & Johnson announced that the dividend paid in June will be increased 6.1% from $0.66 to $0.70.
  • Bank of Nova Scotia previously announced a dividend increase of 3.2% and they started paying out the increased dividend of $0.64 per share in March. This was the second increase in a year.
  • Telus paid me $0.36 per share in April, but next quarter in June they’ll be paying me $0.38 per share. This is 5.6% increase is the second increase in a year which would make them in line with their dividend growth plans. The company has stated in the past that they plan to increase the dividend by roughly 10% each year through 2016 with two dividend increases each year.
  • Transcanada previously announced a dividend increase of 4.3% and they started paying out the increased dividend of $0.64 per share in April.

The dividend income chart has been updated on the dividend income page, check it out here:  Dividend Income Page. To see a list of the companies currently in my portfolio check out my portfolio page.

 

Photo credit: LadyDragonflyCC – >;< / Foter / Creative Commons Attribution 2.0 Generic (CC BY 2.0)

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