At the 2019 Annual General Meeting of Shareholders (AGM) on May 14, 2019, shareholders voted in favor of the proposal to distribute a cash dividend of EUR 1.30 per share, from the 2018 net income. This represented an increase of 4% compared with last year and a pay-out ratio of 46% of continuing net income.
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.