April 20, 2024

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[THE INVESTOR] S-Oil, Korea’s third-largest refiner, has recorded the highest dividend rate among listed companies with more than 1 trillion won (US$930 million) revenue, according to analysts on March 26.

“The dividend per share was about 5,900 won, including the interim dividend of 1,200 won. That makes a 53 percent dividend rate and a dividend yield ratio of 4.9 percent,” Rho Woo-ho, an analyst at Meritz Securities said in a report.

The track record compares with other Korean refiners such as SK Innovation and GS Caltex, which on average had an average dividend rate of 34.1 percent, according to the report.

Meanwhile, the oil refiner is expected to record a 40 percent jump on-year in operating profit this year, according to analysts on March 26. 

According to FN Guide, a financial information provider in Korea, the oil refiner’s operating profit is projected to soar 39.1 percent to 1.9 trillion won in 2018 from 1.31 trillion won last year, backed by residue upgrading complex and olefin downstream complex projects expected to be completed in the first half of the year.

S-Oil CEO Othman al-Ghamdi earlier this year said the company will make all-out efforts to complete the 4.8 trillion won project, which will boost its non-refining portfolio.

Shares of S-Oil rose 1.71 percent or 2,000 won to close at 119,000 won on March 26.

By Park Ga-young (gypark@heraldcorp.com)