Deutsche Pfandbriefbank AG plans to distribute a dividend of €1.07 per share for full year 2017, up from €1.05 per share in 2016, despite a year-over-year drop in consolidated International Financial Reporting Standards profit after taxes to €182 million from €197 million.
The proposed dividend comprises the regular dividend of 50% of after-tax profit plus a special dividend of 25%, the German lender noted, adding that its management and supervisory boards resolved to also apply the higher payout ratio for the financial years 2018 and 2019.
Deutsche Pfandbriefbank said its guidance for 2018 is in line with that of 2017, with pretax profit for the year expected to reach between €150 million and €170 million.
The bank said the forecast is based on slightly lower aggregate of net interest and commission income, and on risk costs estimated in the order of 10 to 15 basis points of its real estate finance portfolio.
