A Deep Dive into the Dividend History, Yield, Growth and Sustainability of Kawasaki Kisen Kaisha Ltd
Kawasaki Kisen Kaisha Ltd (KAKKF, Financial) recently announced a dividend of $100 per share, payable on a date yet to be announced, with the ex-dividend date set for 2023-09-28. As investors anticipate this upcoming payment, it is also crucial to examine the company's dividend history, yield, and growth rates. Leveraging data from GuruFocus, let's delve into Kawasaki Kisen Kaisha Ltd's dividend performance and evaluate its sustainability.
About Kawasaki Kisen Kaisha Ltd
Kawasaki Kisen Kaisha Ltd is a Japan-based transportation company. It operates in four segments: containership, bulk shipping, offshore energy E&P support and heavy lifter, and others. The containership segment, which generates the most substantial portion of revenue, transports shipping containers and provides logistics solutions. Bulk shipping, the next significant segment, transports dry bulk, automobiles, liquefied natural gas, and oil. Containership and bulk shipping together generate the vast majority of revenue.
Exploring Kawasaki Kisen Kaisha Ltd's Dividend History
Kawasaki Kisen Kaisha Ltd has maintained a consistent dividend payment record since 2022. Dividends are currently distributed on a bi-annual basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Understanding Kawasaki Kisen Kaisha Ltd's Dividend Yield and Growth
As of today, Kawasaki Kisen Kaisha Ltd currently has a 12-month trailing dividend yield of 7.70% and a 12-month forward dividend yield of 4.03%. This suggests an expectation of decreased dividend payments over the next 12 months. Based on Kawasaki Kisen Kaisha Ltd's dividend yield and five-year growth rate, the 5-year yield on cost of Kawasaki Kisen Kaisha Ltd stock as of today is approximately 7.70%.
Assessing Dividend Sustainability: Payout Ratio and Profitability
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-06-30, Kawasaki Kisen Kaisha Ltd's dividend payout ratio is 0.23.
Kawasaki Kisen Kaisha Ltd's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Kawasaki Kisen Kaisha Ltd's profitability 5 out of 10 as of 2023-06-30, suggesting fair profitability. The company has reported net profit in 7 years out of the past 10 years.
Future Growth Prospects
To ensure the sustainability of dividends, a company must have robust growth metrics. Kawasaki Kisen Kaisha Ltd's growth rank of 5 out of 10 suggests that the company has a fair growth outlook.
Revenue is the lifeblood of any company, and Kawasaki Kisen Kaisha Ltd's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Kawasaki Kisen Kaisha Ltd's revenue has increased by approximately 9.90% per year on average, a rate that outperforms approximately 61.9% of global competitors.
The company's 3-year EPS growth rate showcases its capability to grow its earnings, a critical component for sustaining dividends in the long run. During the past three years, Kawasaki Kisen Kaisha Ltd's earnings increased by approximately 414.90% per year on average, a rate that outperforms approximately 99.72% of global competitors.
Conclusion
In conclusion, Kawasaki Kisen Kaisha Ltd has demonstrated a consistent dividend payment record, a decent dividend yield, and a low payout ratio, suggesting the sustainability of its dividends. The company's fair profitability and growth metrics further reinforce the likelihood of continued dividend payments. As the company navigates the economic landscape, these factors will play a crucial role in its ability to maintain and possibly increase its dividends.
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