VRG sets date for 20% cash dividend advance

Vietnam Rubber Urban and Industrial Zone Development Joint Stock Company (VRG) will pay a 20% cash dividend on March 13, with the expected amount to be paid this time being approximately VND52 billion.

Vietnam Rubber Urban and Industrial Zone Development Joint Stock Company (stock code: VRG) has just announced the date of payment of interim dividend for 2023 is March 13. The interim dividend rate is 20%, equivalent to each share receiving 2,000 VND. With more than 25.89 million outstanding shares, the estimated amount of money the company will spend on interim dividend payment is 51.7 billion VND.

Vietnam Rubber Industry Group (stock code: GVR) is a major shareholder directly holding more than 3.9 million VRG shares (equivalent to 15.09% of charter capital) and will receive about 7.8 billion VND.

Previously, according to the resolution of the extraordinary shareholders' meeting held in early February, VRG's board of directors said that the company's accumulated undistributed profits by the end of 2023 were VND189.86 billion. The company will allocate VND7.5 billion to the development investment fund and VND11 billion to the welfare and reward fund. The dividend rate for 2023 is 38%, higher than the original plan of 30%. The estimated amount for dividends is VND98.4 billion and retained VND72.9 billion in undistributed profits.

Last year, VRG recorded revenue of VND551 billion, far exceeding the previously set plan of VND246 billion. Revenue was mainly recorded in the last quarter of the year. The company reported pre-tax profit of VND240 billion and after-tax profit of VND186 billion, both double the plan.

This year, the company plans to have total revenue of more than 300 billion VND, down 45.5% compared to the implementation in 2023. Estimated profit after tax is approximately 83 billion VND, down 58.9% over the same period and a dividend plan of 30% in 2024.

The company said that the 2024 revenue plan is based on the assumption that the leased area of 113 hectares has recorded 38.7 hectares as one-time revenue, the remaining 74.31 hectares will continue to be recorded according to regulations as allocated for the entire lease term; the remaining 10% of the two land lease contracts arising in 2023 with an area of 28.9 hectares will be recorded as one-time revenue; it is expected that in 2024, 10.81 hectares will be leased and the total area will be recorded as one-time revenue; and the total cumulative leased area is expected to be 123.81 hectares by the end of 2024.

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