Fubon Financial Holdings has announced a significant dividend distribution, with the board of directors approving a cash dividend of NT$4.25 and a stock dividend of NT$0.25 per common share. This results in a total dividend distribution of NT$4.50 per share, marking a historic high for both cash dividends and total dividends distributed by the company.
The company reported a net income of NT$150.82 billion for 2024, achieving earnings per share (EPS) of NT$10.77, maintaining its position as the leading financial holding company in profitability for 16 consecutive years. The decision to distribute cash dividends was based on an assessment of overall profitability and earnings from its subsidiaries.
In 2024, Fubon Life recorded a net income of NT$102.66 billion and a net worth of NT$613.85 billion, both record highs for the company. Following approval from the board on April 29, pending regulatory consent, it is expected that NT$21 billion will be distributed in cash dividends.
Fubon Life's capital adequacy ratio is projected to remain above 350% by the end of 2024 after distributing these dividends, indicating sound financial operations and sufficient capital levels.
The stock dividend distribution allows shareholders flexibility in managing their holdings or converting them into cash if desired. Although there may be slight dilution due to stock issuance from the capital reserve, Fubon Financial Holdings expressed confidence in future operational performance.
Shareholders receiving these dividends are not required to pay income tax under Taiwanese law.