The Board of Directors of Puregold Price Club Inc. (PGOLD) has approved the adoption of a dividend policy that would pay out 30% of consolidated core net income to shareholders as dividends. <\/p>\n\n\n\n
The company also declared a cash dividend of P0.86 per share for shareholders on record as of January 10, 2023. This amount is 72% higher than the previous year. In the same meeting, the Board approved the continuation of PGOLD\u2019s P5-billion share buyback program for 2023.<\/p>\n\n\n\n
This 30% cash dividend policy cements PGOLD’S position as a blue-chip stock. PGOLD has been fairly consistent in declaring dividends, and has given a range of 1-2% dividend yield in past years. <\/p>\n\n\n\n
The company\u2019s latest dividend payout amounted to roughly 18% of its consolidated core net income. The dividend gives PGOLD a yield of 2.5% based on the previous closing price of P34.00, and that is hardly something to be excited about, but the new dividend policy cements PGOLD\u2019s position as a blue-chip that creates value for shareholders. The approved extension of its share buyback program also gives investors something of a safety net that allows the company to step in and support the stock if necessary.<\/p>\n\n\n\n