A recent analysis by Deka, a German financial services company, suggests that the southern state of Baden-Württemberg is expected to fall behind in terms of dividend payments from German stock market companies.
According to the study, the companies listed in the Dax and MDax indices are expected to distribute a total of around 52.2 billion euros to their shareholders in the current year, a decline from the record high of 55 billion euros in 2024.
Baden-Württemberg, which has traditionally been at the top of the list, is expected to drop to third place in 2025, behind North Rhine-Westphalia (NRW) and Bavaria. The analysis attributes the decline to a decrease in dividend payments from companies such as Mercedes-Benz, which has a significant presence in the region.
Meanwhile, Bavaria is expected to remain at the top of the list, with a total of around 18.5 billion euros in dividend payments, equivalent to 31% of the total.
While BMW, a major company based in Munich, is expected to reduce its dividend, the decline is likely to be offset by increases from other companies, such as Allianz and Siemens, according to Joachim Schallmayer, a capital market strategist at Deka.