Société Générale: dividend, share buybacks and outlook
(CercleFinance.com) - Société Générale announces that its Board of Directors has decided to propose a cash dividend of 0.
55 euro per share at the AGM on 18 May, in accordance with the methodology recommended by the ECB. It will be detached on 25 May and paid on 27 May.
The bank also plans to launch a share buyback program in Q4 2021, equivalent to that devoted to the payment of the dividend (approximately 470 million euros, i.e. an impact of approximately 13 basis points on the CET1 ratio).
It says that it is targeting lower underlying management fees in 2023 than in 2020, and expects a lower cost of risk in 2021, as well as a CET1 ratio well above 200 basis points above the regulatory requirement.
On its distribution policy for 2021, the Board of Directors confirms the target distribution rate of 50% of the underlying net income, group share, which may include a share buyback component of up to 10% of the said profit.
The market seems to like this news - the share is currently up over 2.5% in Paris.
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