Richter will pay a HUF 78.8 billion dividend on its ordinary shares after 2023, according to their announcement. This means a HUF 423 dividend per share, the company distributes 46 percent of last year’s after-tax profit to its shareholders.
Richter held its annual general meeting on the same day as Moll, on April 25, where the owners decided on the most important issues affecting the company. In addition to the dividend payment, it is interesting that the company’s general meeting re-authorized the board to buy its own shares.
To be precise, they authorized Richter to purchase 10 percent of its own shares in the next year and a half, or about 18.6 million shares. This serves two purposes:
- later, if they buy another company, they can pay for it with their own shares instead of money;
- and to be able to reward their employees in shares.
Of the two, the first goal seems more important, because the employees are not used to receiving shares in the 10 percent scale. Already last year, Richter bought more than 3 million of its own shares, which significantly pushed up the company’s price. With the current program, they would continue the process started last year. Such a purchase of own shares must always be approved by the Hungarian National Bank.
