PET scheduled its 2024 annual general meeting (AGM) for the morning of April 26. However, according to the notice of shareholder qualification verification, the participating shareholders only accounted for 36.3% of the total voting shares, which is below the legal and statutory requirements to proceed with the meeting.
PET‘s 2024 annual general meeting (AGM) on April 26 was canceled due to lack of quorum of voting shares
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As planned, the meeting was expected to approve several important plans for 2024, such as the recovery of business operations with a 47% increase in after-tax profit and a maximum dividend of 10%.
The plan projects a recovery
According to PET, 2024 will continue to pose challenges for the distribution sector as the global economy still shows increasing risks of recession, affecting the market for smartphones and electronic products.
The segment of budget-friendly and mid-range technology products will be strongly impacted as the low-income group will experience reduced income, leading to tighter spending and greater caution. On the contrary, the high-end segment continues to grow in quantity as high-income customers still have the ability and demand for shopping.
For the service sector, 2024 shows the recovery of the domestic oil and gas market with new projects being approved.
In the 2024 plan, PET‘s management team sets a target of VND18,540 billion in net revenue, an 8% increase compared to the 2023 performance. The main contribution to revenue still comes from distribution services with VND15,390 billion, up 4%. Profit before and after tax is VND260 billion and VND205 billion respectively, up 43% and 47%.
The numbers reflect the expectation of recovery from a low base in 2023, and if successfully implemented, PET will record its highest profit in 3 years.
Dividends in 2024 declared up to 10%
PET‘s Board of Directors proposed no dividend payment in 2023, although the 2023 Annual General Meeting of Shareholders approved a payment of up to 10%.
The 2024 dividend payment plan is expected to be submitted at a maximum rate of 10%. The specific rate and form of payment will be presented for approval at the 2025 Annual General Meeting of Shareholders, after the audited 2024 business results are available.
Recently, PET has continuously paid dividends in the form of shares, with rates of 10% in 2021 and 8% in 2022, all of which were listed and supplementary traded in 2023. This strategy was once shared by Mr. Vu Tien Duong – General Director of PET at the 2023 Annual General Meeting of Shareholders, specifically for the purpose of retaining capital for long-term investment.
Another content that will also be presented to the meeting is the dismissal of independent members of the Board of Directors, Mr. Trinh Thanh Can and Mr. Nguyen Quy Thinh. The two nominated candidates are Mr. Nguyen Nhu Long and Mr. Ho Minh Viet.
