Tin miner and metal producer, Malaysia Smelting Corporation Berhad (MSC) has declared a first single-tier interim dividend of 7 sen per share in respect of the financial year ended 31 December 2023 (FY2023).
This equates to a total dividend payment of RM29.4 million, translating to a dividend payout ratio of 46% of MSC’s net profit attributable to owners of the company in the first six months of financial year ended 31 Decmber 2023 (1HFY23) of RM63.9 million.
Group CEO of MSC, Dato’ Dr. Patrick Yong said, “The decision to declare an interim dividend underscores our confidence in the Group’s performance and future prospects. Since 2016, the Group has been consistently paying dividends with a payout of more than 23% of net profit.” This marks the Group’s first interim dividend in recent years, and reflects our ongoing commitment to delivering value to shareholders.”
The strategic initiatives undertaken at MSC have solidified the Group’s foundations and positioned it for sustained growth. MSC’s net profit has grown in recent years, recording a 19% Compound Annual Growth Rate (CAGR) from RM34.3 million in FY2016 to RM98.3 million in FY2022.
Cash position also remains robust with a net operating cash flow (NOCF) of RM136.7 million in 1H FY2023. Gearing ratio has improved to 0.4 times as at 30 June 2023, from 1.2 times as at 31 Dec 2016.
This, along with achieving higher tin output, reflects the progress the Group has made.
He added, “Charting ahead, we continue to execute our strategic plans to enhance efficiencies across the Group to capture arising opportunities. We remain positive on the future of the tin industry. The increase in renewable energy (RE) and EV adoption, as well as digitisation presents an exciting time for tin. We anticipate a growing demand for tin, with the metal emerging as an integral component in the technology-era.”
