Home ›› 18 Feb 2022 ›› Stock
IDLC Finance Limited has declared a 20 per cent dividend – 15 per cent cash and 5 per cent stock – for its shareholders for 2021.
“The company is conserving capital to execute its plan for business expansion and this is why it has declared the stock dividend,” said the company in a filing with the Dhaka Stock Exchange (DSE) on Thursday.
It had disbursed the same dividend in the previous year. The company will arrange an annual general meeting (AGM) on March 29 for approval of the dividend. The record date is scheduled for March 8 for the entitlement of the share.
According to the disclosure, the company has been achieving strong balance sheet growth (12.64 per cent in 2021) with a sustainable portfolio size. It plans to continue similar growth momentum in the future.
“As a result, the board believes it is prudent to conserve capital to fund future business expansions,” IDLC said.
The proposed dividend amounts to Tk 79.18 crore (stock and cash). IDLC’s balance of retained earnings as of December 31, 2021, amounted to Tk 726 crore, which is sufficient to cover the dividend payout, added the company.
The net profit of IDLC declined to Tk 212 crore in 2021 from Tk 254 crore in the previous year.
Its earnings per share (EPS) declined to Tk 5.34 in the year, which was Tk 6.42 in the previous year.
IDLC’s share price declined 0.52 per cent to Tk 56.9 on the DSE on Thursday.
