DMCI Holdings Inc., the listed holding company of the Consunji family, said Thursday its board approved the issuance of P9.56 billion in regular and special cash dividend despite the lower profit in 2023.
DMCI said in a disclosure to the stock exchange shareholders as of record April 22, 2024, would receive regular cash dividend of P0.46 per common share and a special cash dividend of P0.26.
This translates into a total dividend payout of P9.56 billion, which represents 39 percent of the company’s consolidated core net income in 2023. The dividends will be distributed on May 3, 2024.
Based on the company’s three closing stock price of P12.28 as of April 3, 2024, DMC’s total dividend translates to a cash dividend yield of 5.9 percent.
The conglomerate has a dividend policy that commits to a dividend payout ratio of at least 25 percent of the preceding year’s consolidated core net income.
DMCI reported a 20-percent decline in 2023 net income on lower contributions from energy, nickel and construction subsidiaries.
Net income in 2023 reached P24.9 billion, down from P31.1 billion in 2022, which was the second-highest for the company.
The higher net income contributions from the real estate, off-grid energy and water utility businesses helped compensate for the decline contribution from energy, mining and construction units.
Consolidated revenues also dropped 14 percent to P122.8 billion from P142.6 billion the prior year due to normalizing coal, nickel and electricity prices, alongside a slowdown in construction and real estate activities and an increase in revenue reversals stemming from the cancellation of real estate sales.
DMCI chairman Isidro A. Consunji remains cautiously optimistic about the group’s performance this year due to combined effect of cooling inflation, stabilizing interest rates, China’s economic slowdown and modest growth in the domestic energy market.
The share price of DMCI rose 0.16 percent Thursday to close at P12.30.