Today, HT published its dividend proposal for 2024, in the amount of EUR 1.53 DPS. At the share price before the announcement, this would imply a DY of 5.15%. The ex-date is set for 10 May 2024, while the payment date is set for 20 May 2024.

Yesterday, HT’s Supervisory Board and Management Board meetings were held, and today a proposal for the distribution of the 2023 net profit was made. According to the proposal, EUR 119.3m will be paid out, while the remaining amount of EUR 5.8m will be transferred into retained earnings. This would imply a payout ratio of 95.3%.

On a per-share basis, this would mean that the dividend amounted to EUR 1.53, and at the share price before the announcement, this would imply a DY of 5.15%. This dividend represents an increase of 39% compared to last year.

The ex-date is set for 10 May 2024, while the payment date is set for 20 May 2024. The approval of the dividend is subject to the vote at the GSM, which will be held on 8 May 2024. Lastly, for 2024, HT’s Management expects a dividend payment of at least EUR 0.8 DPS, but this will depend on several different parameters, which might have an influence on the dividend amount.

Below we provide you with a historical overview of the Company’s dividends per share (EUR) and dividend yields (%)

HT Group dividends per share (EUR) and dividend yields (%) (2008 – 2024)

Source: Hrvatski Telekom, Intercapital Research

BRD Group published its Budget and Business Plan for 2024. The group expects a 6.8% growth in net loans and 1.7% higher deposits, while CoR is expected to remain relatively low at 20 bps. Plan and budget are due to approval on GSM, which will be held on 25 April 2024.

BRD Group published its Budget and Business Plan for FY 2024, which is due to approval on GSM that will be held on 25 April 2024. Real GDP grew 2.1% in 2023, while the budgetary assumptions for 2024 stood at 2.8%. Inflation was forecasted to reach 5% average in 2024. Looking at strategic goals for the Group, expanding the customer base should be highlighted. Further, digital activation of the customer base should further optimize the retail network. Looking at the main KPIs, BRD expects growth in average net loans of 6.8% and 1.7% in average deposits. Loan portfolio is expected to increase more than the GDP growth. Regarding profitability in net banking income, the Group anticipates an increase in net interest income driven by both higher volume and aforementioned higher loans & deposits growth. However, BRD emphasizes the currently present high competitive pressure on margins. NFCI (net fee and commission income) is also expected to increase on the back of a higher volume of transactions and a growing number of clients.

OPEX are mainly expected to be influenced by a new tax of 2% on turnover. Inflationary pressures should persist on many lines, while the cost side will also be driven by the need to pursue significant investment in IT in order or expand the bank’s transformation. Taking everything into account, BRD sees CoR (cost of risk) to remain relatively low at c. 20 bps. CoR recorded positive development during 2023, while the Group sees no reason to consider 2024 differently. Overall, BRD expects NBI (net banking income) to increase, mainly driven by NII, OPEX to mainly be influenced by new tax, inflation pressures and investments in IT and CoR to remain at a favorable 20 bps. Finally, ROE should, under those assumptions, mainly be impacted by the new tax (2% of turnover) and favorable CoR.