For FY2020 and FY2021, Majestic declared and paid dividends of RMB5.0 million and RMB73.9 million, respectively.
.Magestic does not have a regular dividend policy or any pre-determined dividend distribution ratio.
The declaration of dividends is subject to the discretion of the Board which may recommend a payment of dividends in the future after taking into account our operations and earnings, capital requirements and surplus.
I think that robust dividends will be paid every year going forward , as long as cash flows permit.
Lets take F2021 as an example.
In that year, Majestic paid out $10.5 m US in dividends( 7 rem =$1 US )
Thats about $1,4 cents per share in CAD.
Net cash flows for F2021 was $16.8 million US ( same exchange rate )
So, the payout ratio was about 60% of net cash inflows in 2021.
2022 has been in the first 9 months about double that of 2021 and going forward we are looking at the next 9 years doubling that of 2022.
So, almost certainly, we are going to get a very robust 2022 dividend once F2022 reports.
Based on F2021, that dividend is likely to be close to +3.0 cents per share.
Thats a 27% cash bonus at the current share price, which is absolutely outstanding.
For example, if you hold 1 million shares, your cash dividend will be $27,000 cad for 2022.
It might be double that as they may provide an incentive to vote for the HJEX....which I will now certainly vote for ..