Insights into Krung Thai Bank PCL's Upcoming Dividend Payment and Financial Health
Krung Thai Bank PCL (KGTFF, Financial) recently announced a dividend of $0.87 per share, payable on 2024-05-03, with the ex-dividend date set for 2024-04-17. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's delve into Krung Thai Bank PCL's dividend performance and assess its sustainability.
What Does Krung Thai Bank PCL Do?
Krung Thai Bank PCL engages in commercial banking business and conducts its business through a nationwide branch network and in certain centers of the world. The company operates through three segments: Retail banking, Corporate banking, and Treasury and investments. The majority of the revenue is earned from the Retail banking segment.
A Glimpse at Krung Thai Bank PCL's Dividend History
Krung Thai Bank PCL has maintained a consistent dividend payment record since 2021, with dividends currently distributed on a yearly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Krung Thai Bank PCL's Dividend Yield and Growth
As of today, Krung Thai Bank PCL currently has a 12-month trailing dividend yield of 4.50% and a 12-month forward dividend yield of 5.43%, suggesting an expectation of increased dividend payments over the next 12 months.
Over the past three years, Krung Thai Bank PCL's annual dividend growth rate was -3.20%. Extended to a five-year horizon, this rate decreased to -5.80% per year. And over the past decade, Krung Thai Bank PCL's annual dividends per share growth rate stands at -4.10%.
Based on Krung Thai Bank PCL's dividend yield and five-year growth rate, the 5-year yield on cost of Krung Thai Bank PCL stock as of today is approximately 3.34%.
The Sustainability Question: 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 2023-12-31, Krung Thai Bank PCL's dividend payout ratio is 0.24.
Krung Thai Bank PCL's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Krung Thai Bank PCL's profitability 5 out of 10 as of 2023-12-31, suggesting fair profitability. The company has reported positive net income for each year over the past decade, further solidifying its high profitability.
Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. Krung Thai Bank PCL'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 Krung Thai Bank PCL's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Krung Thai Bank PCL's revenue has increased by approximately 7.50% per year on average, a rate that outperforms approximately 54.23% 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, Krung Thai Bank PCL's earnings increased by approximately 30.70% per year on average, a rate that outperforms approximately 77.73% of global competitors.
Lastly, the company's 5-year EBITDA growth rate of 5.60%, which outperforms approximately 43.25% of global competitors.
Looking Ahead: Krung Thai Bank PCL's Dividend Prospects
Considering Krung Thai Bank PCL's upcoming dividend payment, its historical commitment to distributing profits, and the analysis of its payout ratio and profitability, the bank appears to maintain a balance between rewarding shareholders and supporting future growth. The growth metrics provide further confidence in the company's ability to sustain and potentially increase dividends. Investors seeking income-generating stocks might find Krung Thai Bank PCL an interesting option, especially when factoring in the bank's resilience and performance within the financial sector. With a fair growth outlook and consistent profitability, Krung Thai Bank PCL may continue to be a staple in dividend portfolios.
GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener to find opportunities like Krung Thai Bank PCL that align with their investment strategies.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
