CAL Bank is set to pay a dividend for the second consecutive year. The bank has proposed a dividend of GHS0.089 per share for the 2019 financial year, and this reflects 85.4%y/y growth over the dividend of GHS0.048 per share paid in the previous year. The bank's decision to propose the dividend was buoyed by a 13.2%y/y growth in profit after tax to GHS173.41 million in 2019.

A total dividend of GHS55.77 million would be paid to shareholders in respect of the 2019 financial year. And based on the net earnings of GHS173.41 million, the dividend payout ratio would be 32.2%, the highest payout ratio in the last seven years.

The bank's dividend of GHS0.089 per share would result in a dividend yield of nearly 10% based on the current market price of GHS0.92 per share. This could be attractive to dividend investors in a market that few stocks pay dividend consistently. See details of the dividend release below.

Final Dividend

CAL announces that the Company's Directors will be recommending to the shareholders at the upcoming Annual General Meeting, the payment of a final dividend of GH¢0.089 per share for the 2019 financial year. The final Dividend for 2018 was GHS0.048 per share.

Qualifying date

All shareholders registered in the books of SOGEGH at the close of business on Thursday, 7th May, 2020 will qualify for the final dividend.

Closure of Register

The Register of shareholders will be closed to the general public on Friday, 8th May, 2020.

Ex-Dividend Date

In view of the foregoing, the ex-dividend date has been set as Tuesday, 5th May, 2020. Consequently, an investor purchasing CAL shares before this date will be entitled to the final dividend. However, an investor buying CAL shares on or after Tuesday, 5th May, 2020 will not be entitled to the final dividend.

Dividend Payment Date

The final dividend will be paid on Friday, 5th June, 2020.