17 Apr 2018 14:43

Sberbank board recommends 12 rubles per share dividend

MOSCOW. April 17 (Interfax) - The supervisory board at Sberbank of Russia is recommending that shareholders vote at their annual meeting to accept a dividend of 12 rubles on each ordinary and preferred share, the bank's head, Herman Gref, told reporters.

"The supervisory board has recommended for the shareholders' meeting dividends totaling 271 billion rubles, which is 12 rubles for each ordinary share and, accordingly, the same amount on each preferred share. This will increase payments compared with last year exactly two-fold," Gref said.

The dividend record date will be June 26, he said. The AGM would be held in Moscow on June 8.

The dividends are just above the 11.6 rubles per share that analysts predicted in a consensus forecast for Interfax.

Sberbank's shares extended their gains on the news: ordinary shares were up 7.8% from previous closing to 207.12 rubles each in volume of more than 17.486 billion rubles by 2:18 p.m. on the Moscow Exchange . Preferred shares were up 5.7% at 182.45 rubles.

The bank plans to pay shareholders 36.2% of last year's net profit to International Financial Reporting Standards (IFRS), which was 748.7 billion rubles, and 41.5% of its earnings audited to Russian Accounting Standards (RAS).

It paid around 135 billion rubles or 25% of IFRS earnings for 2016 at 6 rubles per ordinary and preferred share.