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South Korean Companies’ Interim and Quarterly Dividend Payments Increase
Samsung Electronics Accounts for 77% of Total in 2029
South Korean Companies’ Interim and Quarterly Dividend Payments Increase
  • By Yoon Young-sil
  • December 16, 2019, 11:29
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Samsung Electronics accounted for 77.4 percent of the total interim dividend payments of South Korean companies in 2019.

The Financial Supervisory Service announced on Dec. 15 that a total of 58 listed companies paid 9,319.9 billion won in interim and quarterly dividends this year and the figures increased by four and 217.8 billion won compared to last year, respectively. The number of such companies, which was 41 in 2016, rose to 51 in 2017 and 54 in 2018. Likewise, the dividends, which added up to 953.6 billion won in 2016, increased to 4,647.5 billion won in 2017 and 9,106 billion won last year.

Samsung Electronics’ interim dividend payment increased from 141.6 billion won in 2016 to 2,896.8 billion won in 2017 and then to 7,213.8 billion won in 2018, when Samsung Electronics alone accounted for 79.6 percent of the total interim dividend payment. This year, the company paid an interim dividend of 7,213.8 billion won to account for 77.4 percent of the total.

The 58 companies are divided into 41 KOSPI-listed and 17 KOSDAQ-listed companies. Their interim and quarterly dividend payments for this year are 9,273.4 billion won and 46.5 billion won, respectively.

This year, 28 KOSPI-listed companies such as Samsung Electronics, Hyundai Motor and Hana Financial Group paid interim and quarterly dividends for the third consecutive year and six such as SK and Doosan did so for the second consecutive year. Seven, including Lotte Holdings, Hyundai Mobis and Kolon Global, did so for the first time.

When it comes to the 17 KOSDAQ-listed companies, 11 such as Medy Tox and Korea Ratings did so for three years in a row, three such as RedcapTour did so for two years in a row, and three such as Cowell Fashion did so for the first time.

Of 2,083 listed companies, 412 KOSPI-listed and 681 KOSDAQ-listed companies have introduced interim and quarterly dividend payment so far. Still, only 5.3 percent of the 1,093 companies have actually paid dividends. The ratio stands at 2.5 percent in the KOSDAQ market.

Last year, the average annual dividend yields of the 41 KOSPI-listed and 17 KOSDAQ-listed companies were 3.7 percent and 3.1 percent, 1.5 percentage points and 1.2 percentage points higher than those of companies paying ordinary dividends, respectively.