Highlights

• Cogeco Inc. declared a quarterly Dividend of C$1.007 per share on 28 October, up from C$0.987.

• The shares closed at C$47.77 on 10 November, the ex-dividend date for the newly raised payment.

• Fiscal 2026 free Cash Flow climbed to C$552.9 million while Revenue and adjusted EBITDA both declined.

• Fiscal 2027 guidance points to lower revenue and EBITDA after elevated United States customer losses last quarter.

Cogeco Inc. (TSX:CGO) has just notched its 23rd consecutive year of dividend growth, yet the very release that lifted the payout also told shareholders to expect a smaller Business in fiscal 2027. The board raised the quarterly dividend by 2.0% to C$1.007 per multiple and subordinate voting share, while guidance calls for revenue to fall by a low to mid single-digit percentage and adjusted EBITDA by a mid to high single-digit percentage.

That tension, a rising cheque set against shrinking top-line expectations, sits at the heart of the holding company's story. Cogeco Inc. controls the cable and internet operator Cogeco Communications and also owns Cogeco Media, whose radio stations reach 4.6 million weekly listeners.

The payout and the Yield arithmetic

The new C$1.007 dividend went ex on 10 November and is scheduled for payment on 25 November. Multiplied across four quarters it comes to C$4.028, an indicated yield of 8.43% on the 10 November close of C$47.77, a price that already excludes the latest payment.

A trailing measure needs care. The twelve months to 10 November capture five quarterly ex-dates, four at C$0.987 and one at C$1.007, totalling C$4.955 and implying 10.37%. That figure flatters a normal year; the latest four payments add up to C$3.968, or 8.31% of that close.

Cash flow up, reported profit down

Fiscal 2026, which ended on 31 August, produced revenue of C$2,886.7 million, down 4.0%, and adjusted EBITDA of C$1,398.1 million, down 3.8%. Free cash flow moved the other way, rising 7.5% to C$552.9 million, and net indebtedness eased to C$4,448.1 million from C$4,685.7 million.

The statutory Bottom Line tells a harsher tale. Asset Impairment charges of C$2,254.6 million pushed the group to a net loss of C$1,501.0 million, with C$340.5 million of that loss attributable to owners. Adjusted profit attributable to owners nonetheless rose 8.5% to C$99.0 million, or C$10.26 per diluted share. The company did not publish a dividend payout ratio.

Canada steadies, America struggles

North of the border, internet subscriber growth re-accelerated and Canadian adjusted EBITDA grew year on year for a fourth straight quarter. In the United States, the fourth quarter brought elevated customer losses in a competitive market. The response includes a new TV streaming product, the welo digital brand, wireless service and fresh sales channels.

Guidance for fiscal 2027, set at constant currency, puts net Capital Expenditure at C$430 million to C$480 million, against C$564 million in fiscal 2026, and free cash flow at C$505 million to C$555 million. That range brackets the latest annual result even though EBITDA is guided lower.

Points to keep in view

Cogeco Communications declared its own C$1.007 quarterly dividend in a separate announcement, so the two payouts and their yields should not be blended. Membership of the S&P/TSX SmallCap index rests on fund holdings data dated 25 September 2026 rather than a fresh notice from the index provider.