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Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank – HOSE: HDB) has just announced the Resolution of the Board of Directors on the implementation of dividend payment for 2023 with a ratio of 30%, including 10% in cash and 20% in stocks.
According to the published document, for cash dividends, the ex-dividend date is July 12, 2024, corresponding to the record date of July 15, 2024. The expected cash dividend payment date is July 26, 2024. Shareholders whose names are on the list as of the record date will receive VND 1,000/share.
With more than 2.9 billion shares currently in circulation, HDBank is estimated to spend over VND 2,900 billion on cash dividend payments to its shareholders.
HDBank has consistently offered high dividend yields, leading the market for several consecutive years. At the recent Annual General Meeting of Shareholders, the bank proposed a dividend plan for 2025 of up to 30%, including a maximum of 15% in cash.
The Board of Directors of Saigon-Hanoi Commercial Joint Stock Bank (SHB – HOSE: SHB) has also decided to set July 19 as the record date for shareholders to receive a 5% cash dividend. The dividend payment will be made on August 6.
This is the first time in over a decade that SHB has paid cash dividends. The last time SHB distributed cash dividends was in 2013, with a ratio of 7.5%. In recent years, SHB has typically paid dividends in stocks to increase its charter capital, such as in 2023 when the bank paid a dividend of 18% in this form.
With nearly 3.7 billion shares currently in circulation, SHB is estimated to spend over VND 1,800 billion on cash dividend payments to its shareholders.
Thus, the total amount that SHB and HDBank need to spend on cash dividend payments to shareholders is over VND 4,700 billion.
In addition to the above two banks, there are two other banks with plans/policies to pay cash dividends this year.
In late May, Eximbank’s Board of Directors approved the implementation of a 3% cash dividend payment and a 7% stock dividend. Specifically, with a cash payment of VND 300/share, Eximbank is expected to spend VND 552 billion on dividends to its shareholders. However, Eximbank has not yet announced the details of the ex-dividend date and payment date.
This is the first time in ten years that Eximbank has paid cash dividends to shareholders. The last time the bank paid cash dividends was in 2014, with a ratio of 4%.
The recent MSB Annual General Meeting of Shareholders also approved the policy of paying dividends of up to 15% in cash or stocks from the profits generated in 2024, along with retained earnings after completing the increase in charter capital. In the case that MSB decides to pay the entire dividend in cash according to this policy, the amount the bank needs to spend is approximately VND 3,900 billion.
Speaking to investors at the recent Annual General Meeting, MSB representatives shared that if approved by shareholders and if the bank’s performance meets expectations, they plan to make an interim cash dividend payment in the fourth quarter of this year.
“We have had plans to pay cash dividends from before, but we needed to obtain approval from the Annual General Meeting of Shareholders for a maximum rate of 15%,” they added.
In 2024, ten banks have implemented or proposed plans to pay cash dividends to shareholders, including VIB, ACB, HDBank, MB, VPBank, Techcombank, Eximbank, SHB, TPBank, and MSB. The total amount of cash dividends paid out by banks this year is estimated to be around VND 33,000 billion. This figure is significantly higher than in 2023 in terms of both the number of banks and the scale of dividend payments (VND 23,000 billion paid out by six banks).
