Russian oil major Lukoil will recommend paying a full final 2021 dividend of RUB537 per share and will call an extraordinary general shareholder meeting on December 5 to approve it, according to Interfax.
Previously, in the summer of 2022 Lukoil delayed the final dividend payment due to difficulties in processing the payments under Western sanctions for Russia’s military invasion of Ukraine.
“By paying the full 2021 final dividend, Lukoil has created a positive catalyst for its stock price. We fully expected some sort of dividend, but were not certain the full dividend policy would be adhered to given other needs for cash in this crisis year,” BCS Global Markets commented.
BCS GM estimated the dividend yield at 11% and sees potential for boosting expectations for 2022 dividends “given the company’s adherence to its dividend policy of 100% of FCF [free cash flow]”. The analysts also see a possibility for an interim 1H22 dividend carrying a yield of 7.5%-8.5%.
As followed by bne IntelliNews, prior to Russia's military invasion of Ukraine, Lukoil reinforced its investment case of being one of the most valuable Russian oil and gas blue chips in 2019 with the pledge to pay at least 100% of cash flow in dividends and by the launch of the second $3bn buyback programme.
Don’t just follow the news—understand it.
The IntelliNews PRO service includes access to reports, exclusive market data, and more news that decision-makers care about. Stay ahead of the market with IntelliNews PRO.
Sign Up NowRelated Articles
Russia's Ozon swings to profit on EBITDA growth, fintech expansion in Q1 2026
Russia's Ozon Group (MOEX: OZON) reported a net profit of RUB4.5bn ($54.7mn) for the first quarter of 2026, against a net loss of RUB7.9bn in the same period last year, the e-commerce group said in ... more
Russia boosts Mali military support as Africa Corps replaces Wagner
Russia has delivered new shipments of heavy military equipment to Mali as the Kremlin replaces the Wagner Group’s semi-private model with the more tightly controlled Africa Corps, according to The ... more
BRICS+ city network voices solidarity with Tehran as tensions with US persist
Senior figures from the BRICS+ Association of Cities and Municipalities expressed “solidarity” with Tehran and voiced concern over developments in the Middle East in a message to the Iranian ... more