ChemrezTech declares P160-M in dividends

ABS-CBN News

Posted at Jun 16 2008 03:35 AM | Updated as of Jun 16 2008 11:35 AM


Biopetroleum producer Chemrez Technologies Inc. (ChemrezTech) has declared P160 million in cash dividends to shareholders after the company reported strong profits in 2007.

In a disclosure to the Philippine Stock Exchange (PSE), the company said it would pay shareholders a total of P0.12 per share, consisting of a regular cash dividend of P0.06 per share and a special cash dividend of the same amount.

ChemrezTech chief finance officer Francis Caluag said the cash bonus represented roughly 33 percent of the company's 2007 net income of P480.6 million and was double that of last year which amounted to a total of P0.06 per share.

Stockholders of record as of June 27, 2008 are eligible to receive the dividends that are payable on July 23.

ChemrezTech's board has been declaring cash and stock dividends since 2001. PSE records show ChemrezTech's dividend payout ratio amounted to 63.4 percent based on weighted earnings per share last year, 72.2 percent in 2006, and 41.8 percent in 2005.

"This reflects the company's growing profitability despite challenging times. It is the company's way of sharing the benefits of its much improved financial performance with its shareholders," said Caluag.

He noted that "while we do not have a set dividend policy, ChemrezTech is committed to pay dividends whenever it is making money."

ChemrezTech announced that its audited consolidated net earnings after tax for 2007 reached P480.6 million, 409 percent higher or five times the P94.4 million earned in 2006.

For the first five months of 2008, ChemrezTech's unaudited consolidated sales jumped 53 percent to P1.92 billion from the P1.26 billion recorded in January to May last year.