Hibiscus Petroleum Bhd managing director Dr. Kenneth Pereira
KUALA LUMPUR: Hibiscus Petroleum Bhd
has declared a final dividend of 1.0 sen per ordinary share for the financial year ended June 30, 2024 (FY24), pending shareholder approval at the annual general meeting later this year.
In a statement, Hibiscus said this brings the total dividends for FY24 to 8.5 sen per ordinary share, representing a 36% increase from FY23 and reflecting a dividend yield of 4.3%
Looking ahead, Hibiscus Petroleum has set its dividend guidance for FY25. It targets a minimum dividend of 8.0 sen per ordinary share if the average Brent price is US$70 per barrel or above. If the price hits US$80 per barrel or more, the minimum target dividend will be 10.0 sen per ordinary share. These targets correspond to indicative dividend yields of 4.1% and 5.1%, respectively.
“The fundamentals of the group are strong. We have a resilient balance sheet, a growing reserves base and low gearing. Our capital allocation framework underpins our capital expenditure and prioritises dividend payout.
“We have firm value triggers in terms of ongoing projects to be monetised in 2024 and 2025, including our North Sabah SF30 Waterflood project in Malaysia, the Teal West development in the UK and the proposed acquisition of the gas-producing asset in Brunei. We also have our PM3 master hub plan in place to further accelerate growth from 2026 onwards.
“Accordingly, we are comfortable in giving our shareholders more granularity in our dividend guidance,” managing director Dr Kenenth Pereira said.
