Sberbank plans to pay 50% of IFRS net profit in 2019 dividends

MOSCOW, Dec 11 (PRIME) -- Russia’s biggest lender Sberbank plans to pay 50% of the net profit under International Financial Reporting Standards (IFRS) in dividends for 2019, Deputy CEO Alexander Morozov said at an analyst day on Wednesday.

“We confirm our intent to attain a dividend level of 50% right from the next year, starting with the dividends for 2019,” Morozov said.

He said that Sberbank does not consider reduction of dividend payments below 50% of the IFRS net profit in the future. “The dividend policy for the next three years will become an integral part of our strategy for the next three years. And it will be presented in November–December next year. Until then, I would not like to comment but it is clearly evident that we are not thinking about reduction of (dividend payments) beyond 50% (of the IFRS net profit),” Morozov said.

The current dividend policy of Sberbank envisages payment of 50% of the IFRS net profit in dividends if capital adequacy is above 12.5%.

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