After the Annual General Meeting, VGR raises dividend ratio by 30%

In accordance with the Resolution of the Annual General Meeting of Shareholders 2024 published on March 14, CTCP Green Port Vip (UPCoM: VGR) will pay a total dividend of nearly 443 billion VND for the year 2023, equivalent to 70% of the charter capital, which is 7,000 VND per share. The dividend will be paid from the undistributed after-tax profit as of December 31, 2023, which is nearly 567 billion VND. This will also be the highest dividend rate in recent years for the Company.

It is worth mentioning that this dividend amount is higher than the expected amount of 253 billion VND, equivalent to 40% of the charter capital, presented in the documents of the General Meeting of Shareholders announced in February.

With the above-mentioned changes, Container Vietnam Corporation (HOSE: VSC) is expected to benefit the most as it is the parent company directly owning 74.35% of VGR’s capital, estimated to receive over 329 billion VND from this dividend payout.

Prior to this, VGR had already made a provisional dividend payment of 10% on June 14, 2023. Therefore, in the coming period, VGR shareholders will still receive a dividend payment with a rate of up to 60%.

As part of the profit distribution plan for 2023, VGR will allocate 8 billion VND for reward and welfare fund, and more than 2.7 billion VND for the reward of the Board of Directors and the Supervisory Board (1% of the after-tax profit for 2023).

For the year 2024, VGR sets a revenue target of 774 billion VND and a pre-tax profit of 240 billion VND, a decrease of 14% and 22% respectively compared to the performance in 2023. If the plan is achieved, the 2024 revenue of VGR will be the lowest in the past 4 years since 2021. In terms of dividend, the General Meeting of Shareholders approves a minimum dividend rate of 20% of the charter capital.

Huy Khai