RBS: resumed dividends boost share price
(CercleFinance.com) - Royal Bank of Scotland intends to declare an interim dividend of 2 pence per share and expects to propose a dividend pay-out ratio of around 40% over time, the bank said on Friday, prompting a significant rise in the share's price.
In its first-half report, RBS said it will consider further distributions, in addition to regular dividend pay-outs, while saying that it would not expect any such additional distributions until 2019.
However, RBS' underlying results were a touch ahead of the consensus in first-half, driven by loan losses, analysts pointed out.
Profit attributable to ordinary shareholders fell to 888 million pounds, from 939 million pounds in the first six months of 2017.
"The real story this quarter is in capital strength and a return to dividends," UBS commented. Indeed, the London-listed shares were up 2.3% after all these announcements.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
In its first-half report, RBS said it will consider further distributions, in addition to regular dividend pay-outs, while saying that it would not expect any such additional distributions until 2019.
However, RBS' underlying results were a touch ahead of the consensus in first-half, driven by loan losses, analysts pointed out.
Profit attributable to ordinary shareholders fell to 888 million pounds, from 939 million pounds in the first six months of 2017.
"The real story this quarter is in capital strength and a return to dividends," UBS commented. Indeed, the London-listed shares were up 2.3% after all these announcements.
Copyright (c) 2018 CercleFinance.com. All rights reserved.