AusNet to trim investor franking credits

Energy firm AusNet Services says it will cut the ratio of its franked dividend due to a forecast reduction in its company tax payable.

Energy network operator AusNet Services will likely trim the franking credits available to shareholders on the back of a downgrade to its company tax forecasts.

AusNet now expects a 2017 financial year dividend of 8.8 cents per share to be 25 per cent franked, down from 50 per cent franked it had expected earlier.

AusNet said a forecast fall in the amount of company tax it has to pay will increase its net cashflow and reduce franking credits available to its investors.