(Last Updated On: August 1, 2021)
In its disclosure last Friday, URC declared a 5% increase in dividends for 2021 as it had higher income. First half of the year earnings had a net income of Php8.5 Billion, which is higher 42% as compared last year. This was due to the one time sell off on its one piece land as well as the tax reliefs coming form the CREATE law.
This years net sales reached P68.5Billion a 2% increment from last years performance.
URC also announce that it is going to divest its interest to one of its partners for a line of snack products in Australia and New Zealand
Disclosure stated that “URC’s strong financial position is also expected to be further bolstered by cash proceeds from the sale of its remaining 60% stake in the Unisnack Oceania joint venture, when regulatory approvals are completed. At the end of the first half of 2021, URC’s balance sheet had a healthy cash balance of Php 17.3 billion, net debt of Php 26.3 billion and a low gearing ratio of 0.42. With continued strong cash flow foreseen, URC is raising 2021 dividends to Php 3.30 per share versus Php 3.15 per share in recent years.
In addition, returns to shareholders will be increased through a share buy-back plan initially targeted at Php 3 billion”
URC also stated that it has organized its share buy back for its own shares amounting to Three Billion (P3,000,000,000.00) worth of the Company’s common shares
It said on its disclosure “The objectives of the share buyback program are to enhance shareholder value and to manifest confidence in the Company’s value and prospects through the repurchase of the common shares of the Company and through the return of a portion of the Company’s capital to its shareholders”
Outstanding shares are as below;
Issued shares: 2,230,160,190
Outstanding shares: 2,204,161,868
Listed shares: 2,227,638,933
Treasury shares: 25,998,322
Price of URC drop by 4.38% after the run off period amid renewed fears on the upcoming Enhanced Community Quarantine in NCR region. It broke the support at 131 peso level and is now nearing its next support at 120 pesos