trending Market Intelligence /marketintelligence/en/news-insights/trending/x7etihnrre2wye9tg2qjtq2 content esgSubNav
In This List

PKO eyes 50% dividend payout on 2018 profit

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


PKO eyes 50% dividend payout on 2018 profit

PKO Bank Polski SA has met the criteria to set aside 50% of its 2018 net profit for dividends next year, news agency PAP reported Nov. 6.

The lender's CFO Rafał Kozłowski said he expects PKO's stress test buffer to be reduced significantly, after which the bank would be able to pay out half of its profits in dividends.

The final decision regarding the size of the dividend will depend on the recommendations of the Polish Financial Supervision Authority, Kozłowski said.

The bank decided earlier this year to pay a dividend of 687.5 million Polish zlotys from its 2017 profit, equivalent to 25% of its earnings for the year, in line with the FSA's recommendation.

Kozłowski also said PKO is likely to revise its financial targets for 2019, Reuters reported separately. PKO's current financial goals include a return on equity ratio above 10% and a cost-to-income ratio below 45%, the newswire said.

PAP cited PKO Bank CEO Zbigniew Jagiełło as saying that the financial institution hopes to grow both organically, and via mergers and acquisitions. The bank is particularly interested in takeovers in asset management and leasing segments, according to the report.

The bank recently reported a year-over-year increase in its third-quarter net profit attributable to equity holders of the parent company, to 1.04 billion zlotys from 902 million zlotys. EPS for the quarter was 83 groszy, compared with the year-ago 72 groszy.

As of Nov. 6, US$1 was equivalent to 3.77 Polish zlotys.