Dividend Policy & Payment

  1. The Company’s Dividend Payment Policy

    In considering a dividend payment, the company will take into account the operating results and shareholders’ return in the long term as well as the consolidated financial statements.

    Dividend payments will be in line with the Articles of Association of the company, the essence being that dividends are to be equally allocated for each share and its payment must be approved by the shareholders meeting. The Board of Directors may occasionally pay interim dividends when the company has enough profit to do so. The payment of interim dividends shall be reported to the shareholders in the next shareholders meeting. Furthermore, dividend payment must be in compliance with the Bank of Thailand’s notifications and governing laws.

  2. Regulations Related to Dividend Payments

    According to the Bank of Thailand’s notification regarding the Requirements on Accounting for Financial Institutions, financial institutions should not pay dividends from unrealized gains or when there is no real cash inflow such as profits from mark-to-market valuations or from the reclassification of financial assets. Neither should they pay dividends from the profits arising from unrealized liquidation of assets which results in a higher profit or lower loss than actual, such as proceeds from the sale of non-performing assets (NPAs) under the condition that the financial institutions can repurchase them or exercise the rights of first refusal in the future.

    In addition, since the core revenue of the company is the dividends it receives from its subsidiaries consisting of Land and Houses Bank Public Company Limited, Land and Houses Securities Public Company Limited and Land and Houses Fund Management Company Limited, the bank must comply with the Bank of Thailand’s notification on loan classification and provisioning guidelines for financial institutions. Under the notification, any financial institution which has not yet derecognized loss assets from its balance sheets or has not yet set aside the provisions in full for potentially impaired and unimpaired assets and obligations, is not allowed to pay dividends or other forms of returns to its shareholders.

  3. The Subsidiaries’ Dividend Payment Policy
    1. Land and Houses Bank Public Company Limited

      In considering dividend payments, the bank will take into account its performance and the long-term returns to its shareholders.

      Dividend payments will be in line with the Articles of Association of the bank, the essence being that dividends are to be equally allocated for each share and its payment must be approved by the shareholders meeting. The Board of Directors may occasionally pay interim dividends when the bank has enough profit to do so. The payment of interim dividends shall be reported to the shareholders in the next shareholders meeting. Furthermore, dividend payment must be in compliance with the Bank of Thailand’s notifications and governing laws.

    2. Land and Houses Securities Public Company Limited

      In considering dividend payments, the company will take into account its performance and the long-term returns to its shareholders as well as the consolidated financial statements.

      Dividend payments will be in line with the Articles of Association of the company, the essence being that dividends are to be equally allocated for each share and its payment must be approved by the shareholders meeting. The Board of Directors may occasionally pay interim dividends when the company has enough profit to do so. The payment of interim dividends shall be reported to the shareholders in the next shareholders meeting. Furthermore, dividend payments must be in compliance with the Bank of Thailand’s notifications and governing laws.

    3. Land and Houses Fund Management Company Limited

      In considering dividend payments, the company will take into account its performance and the long-term returns to its shareholders.

      Dividend payments will be in line with the Articles of Association of the company, the essence being that for all dividend payments, the company has to earmark a reserve at least one-twentieths of the net profit from the business operations, until the reserve fund reaches one-tenths of the capital of the company or higher.