Bilbao, 11 February 2021. The Euskaltel Group will pay out an interim dividend against 2020 results tomorrow, 12 February, for a gross amount of Euros 0.14 per share outstanding with dividend rights.
A total interim dividend amount of Euros 25 million will be paid by the operator to shareholders. The interim dividend distribution was agreed by the Euskaltel Group's Board of Directors on 15 December 2020.
This is the fifth consecutive year that a dividend has been paid out since the company was floated on the stock exchange in July 2015. Moreover, this dividend payout demonstrates the Group's commitment to profitability and value generation for investors.
The final dividend to be paid against 2020 results will be determined at the General Shareholders' Meeting to be held in 2021 following a proposal from the Board of Directors.
As noted earlier, on 1 February Euskaltel joined the IBEX TOP DIVIDENDO® index following the ordinary review by the Technical Advisory Committee at IBEX TOP DIVIDENDO® during their meeting held on 26 January, in accordance with the Technical Standards for Compiling and Calculating IBEX Indices.
This decision reflects Euskaltel's good track record in terms of profitability, which is once again confirmed by its dividend policy, as a result of the company?s solid results. On 27 October Euskaltel published its results for the third quarter of 2020 with over 20,000 new customers thanks to the success of its national expansion strategy through the Virgin telco brand. In this quarter, the company announced a 1.8% revenue increase compared to the same period in the previous year and a 3.6% reduction in net debt in the same period.
The IBEX TOP DIVIDENDO® is made up of the 25 securities with the highest dividend yield from those included in the IBEX 35, the IBEX Medium Cap and the IBEX Small Cap indices, provided they have an ordinary dividend payment track record of at least 2 years. The weighting of components is based on the ordinary gross dividends paid out in the last 12 months and is adjusted for free float and liquidity, capped at 10%.
Euskaltel's joining the IBEX TOP DIVIDENDO stands alongside its inclusion in the FTSE4Good IBEX sustainability index, another of the company's milestones. The FTSE4Good IBEX is one of the most prestigious sustainability indexes in the world, highlighting Spanish companies that lead corporate social responsibility practices and provides investors with information on companies that meet environmental, social and corporate governance (ESG) best practices on a global level.
Forming part of the FTSE4Good IBEX sustainability index since June 2020 provides significant acknowledgement of Euskaltel's efforts to assimilate corporate governance and sustainability practices into the Group's management and of its commitment to corporate social responsibility, which are integrated throughout the organisation and aligned with its objectives.
Similarly, on 23 December 2019, Euskaltel joined the IBEX MEDIUM CAP® index. The company thus became part of the 20 listed companies (excluding Ibex 35 securities) with the highest free float-adjusted capitalisation and which meet the required liquidity ratios.
Euskaltel - Communication Department