The Board of Directors of China Banking Corporation (Chinabank) recently declared a 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 of the bank on record as of May 3, 2024.
Facade shot of a China Bank branch (IMAGE CREDIT: https://www.chinabank.ph)
The regular cash dividend has increased by 20% compared to the P1.00 per share the previous year.
The total cash dividends, amounting to an all-time high of P5.9 billion, is 16% higher compared to last year, representing 27% of Chinabank’s net income worth P22.0 billion in 2023.
It translates to a cash dividend yield of 6.0% based on the bank’s P36.75 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.
Last year, the bank paid P5.1 billion in cash dividends — P1.00 per share regular cash dividend and P0.90 per share special cash dividend.
Chinabank is the 4th largest private domestic bank in the country. It was also distinguished as the “2023 Employer of the Year” by the People Management Association of the Philippines and was also a two-time “Five-Golden Arrow Awardee” by the Institute of Corporate Directors.
Most recently, the Philippine Dealing System Group has also conferred the “Cesar Virata Best Securities House” award (bank category) to China Bank.
Moodys’ Investors’ Service, in its April 16, 2024 press release, affirmed Chinabank’s Baa2 deposit and issuer ratings — a notch above investment grade — and with a stable outlook given the bank’s “strong capitalization and profitability, as well as its modest deposit franchise, which is offset by its strong level of liquidity.”