China Banking Corp. (Chinabank) on Thursday declared total cash dividend of P5.9 billion after registering a record high profit in 2023.
The P5.9 billion cash dividend was 16 percent higher than P5.1 billion it declared in 2022.
Chinabank said in a stock exchange filing its board of directors approved the declaration of P1.20 per share regular cash dividend and an additional P1.00 per share special cash dividend, payable on May 16, 2024 to all stockholders on record as of May 3, 2024.
The regular cash dividend increased by 20 percent from P1.00 per share the previous year.
The total cash dividends represent 27 percent of the bank’s 2023 net income of P22 billion, up 15 percent from 2022.
This translated into a cash dividend yield of 6 percent based on the bank’s P36.75 per share closing stock price as of April 17, 2024.
“The dividend declaration reflects Chinabank’s commitment to consistently providing good shareholder returns while investing in the continued growth of its business,” the bank said.
The bank’s strong 2023 financial performance was boosted by higher core business revenues. Net interest income rose 17 percent to P53.5 billion as the strong growth in loans and investments offset the significantly higher interest expense.
Gross loans grew 10 percent to P791 billion, with the share of consumer loans to the total loan portfolio reached 23 percent. Total deposits rose 11 percent to P1.2 trillion.