2615 JTINTER

JTI is mainly involved in the manufacturing and marketing of tobacco products, which include brands like Salem, Mild Seven and Winston
JTI has been a consistently profit performer and distributing dividends to shareholders (based on recent financial reports); some of which are listed below.


DIVIDENDS

• FY2012 Nett 56sen (Special 24sen less tax and 38sen TE) (24May12)
• FY2011 Nett 22.5sen (1st Interim 15sen and 2nd Interim 15sen less tax)
• FY2010 Nett 22.5sen (1st Interim 15sen and 2nd Interim 15sen less tax)
• FY2009 Nett 22.5sen (1st Interim 15sen and 2nd Interim 15sen less tax) 
• FY2008 Nett 53.2sen (1st Interim 15sen and 2nd Interim 15sen less tax, Special 28sen TE)

RETAINED EARNINGS (Distributable Only)

• FY2012: RM422million (1Q12 : RM146M for 56sen nett dividend yet to minus)
• FY2011: RM385million     FY2010: RM321million     FY2009: RM248million   
• FY2008: RM196million     FY2007: RM229million

OTHERS

• 1Q2012 : EPS: 14.43   NTA: 1.88   PE: 12.6   Price: 7.27 (25May12)

MY TAKE: Given the price movement over the last 4 years (2009-2012), a consistent pattern with price hike after the big fat dividend announcement. Sure enough, the special dividend news on 24May12, spike the share price from RM6.8 to gap up RM7.3 the next day.
The question is will the company continue with special dividend next year? Let me deduce this way; the special dividend payout is estimated at RM146M (based on weighted average number of ordinary issued shares of 261,534,000 sourced from latest report). 1Q12 has delivered RM37M, and assuming consistent quarterly result for rest of the FY, the special dividend payout can be easily covered from FY12 earnings.
note: all data from local exchange website, and for any error here refer to local exchange website for accuracy. all analysis herewith is for personal purposes only