A proposal will be submitted to the 2019 Annual General Meeting of Shareholders (AGM) to pay EUR 1.30 per ordinary share, in cash, from the 2018 net income. This represents an increase of 4% compared with last year and a pay-out ratio of 46% of continuing net income. The dividend payment is subject to approval by the 2019 AGM, to be held on May 14, 2019. Further details about the AGM can be found here. Dividend in cash is, in principle, subject to 15% Dutch dividend withholding tax, which will be deducted from the dividend in cash paid to shareholders.
Signify targets a dividend pay-out ratio of 40% to 50% of continuing net income to be paid out annually in cash. Continuing net income is defined as net income excluding discontinued operations and excluding material non-recurring items such as restructuring and acquisition-related charges after tax.
The payment of dividends, if any, and the amounts and timing thereof depend on several factors, including future sales, profits, financial conditions, general economic and business conditions and prospects. Other factors that the Board of Management may deem relevant as well as other legal and regulatory requirements, may also impact payment of dividends, amounts and timing. These may be beyond the control of the company. The Board of Management may revisit Signify’s dividend policy from time to time.