CEO: NLMK dividends for Oct–Dec may exceed policy requirements
MOSCOW, Feb 20 (PRIME) -- The management of Russian steelmaker NLMK will recommend dividends for October–December 2017 higher than encompassed by the company’s dividend policy, CEO Oleg Bagrin told reporters on Tuesday.
“Certainly, recommendations will be higher than encompassed by the dividend policy,” he said.
Under the dividend policy updated in 2015, NLMK can pay from 50% of the net profit to 50% of the free cash flow under International Financial Reporting Standards (IFRS) in dividends if a net debt/EBITDA (earnings before interest, taxes, depreciation and amortization) ratio is up to 1. The payment will amount to 30% of the aforementioned figures if the ratio is higher.
In October–December 2017, NLMK’s IFRS net profit rose 20% on the quarter to U.S. $428 million.
Businessman Vladimir Lisin owns around 84% in the company.