Trinidad Cement breaks eight-year dividend drought
Trinidad Cement Limited will pay a dividend to shareholders in July, ending an eight-run run in which shareholders received no returns from the stock.
At four cents per share the total payout will amount to TT$15 million. The board of directors said in a market filing that they approved the interim payment after considering economic, financial, legal and contractual factors.
The regional cement producer last paid a dividend in December 2007. The company has been investing in its regional businesses, including Caribbean Cement in Jamaica, and racking up large debts as a result. TCL has only recently shrugged off a sustained period of losses, following a second restructuring of its debts in which Cemex of Mexico, through subsidiary Sierra Trading, became the dominant owner, although not a majority shareholder, with a near doubling of its stake to 39.5 per cent.
Cemex is due more than TT$5.9 million of the dividends to be distributed on July 1. TCL is yet to set the record date for the payout.
At year end December 2016, the cement maker reported net profit of TT$429 million compared to a loss of TT$211 million the previous year. And in the first quarter of 2016, it netted TT$67 million, up from TT$47 million at March 2015.