Last checked at 24 Oct 2019 11:15
Change in Sampo’s view on expected dividends
SAMPO PLC INSIDE INFORMATION 24 October 2019 at 1:15 pm
Change in Sampo’s view on expected dividends
Sampo has for several years had the ambition of annually increasing its nominal dividend per share. However, in the present operating environment, with government bond yields expected to remain negative for some time to come, Sampo management no longer thinks the company’s and its shareholders’ interests are best served by an increase in the dividend.
Nordea announced today a change in its dividend policy, which further reinforces Sampo management’s view that it is prudent to reset the dividend expectations now.
Management expects to propose to the Board a dividend of EUR 2.10 - 2.30 a share for 2019, not including the extra dividend paid in the form of Nordea shares in August 2019. Management’s target going forward is to maintain a sustainable and attractive dividend. Sampo’s current dividend policy is to pay out at least 50 per cent of the net profit as dividends. Over the last five years Sampo’s pay-out ratio has on average been approximately 80 per cent. The Board will review the dividend policy in early February 2020.
The change in expected dividend has no implications for Sampo Group’s outlook for 2019. The insurance businesses’ outstanding performance continues.
SAMPO PLC
Kari StadighPresident and Group CEO
For further information please contact
Jarmo Salonen Head of Investor Relations and Group Communications tel. +358 10 516 0030
Maria Silander Communications Manager, Media Relations tel. +358 10 516 0031
Distribution: Nasdaq Helsinki London Stock Exchange The principal media Financial Supervisory Authority www.sampo.com