Telekom Slovnije announced yesterday that they have received a dividend counterproposal in the amount of EUR 5.50, which translates into a DY of 8.5%.

Telekom Slovenije announced yesterday that they have received a dividend counterproposal in the amount of EUR 5.50 per share, which translates to a dividend yield of 8.5%. As a reminder, the initial dividend proposal amounted to EUR 4.50 per share and gave a dividend yield of 7%. With this counterproposal the pay-out ratio rises to 92% from the initially proposed ratio of 75%.

As a reminder in FY 2018 Telekom Slovenije recorded flat sales revenues YoY, increase in EBITDA of 10% and net income of EUR 33.3m. The increase in both EBITDA and net income could be attributed to a low 2017 base as Telekom Slovenije recorded provisions for lawsuits of EUR 25m in 2017. Besides that, the regular part of the business did not shine in 2017, which could be seen when observing their 2017 adjusted EBITDA which decreased by 4.4%.