Total amount paid in dividends substantially down
Dutch companies quoted on the Amsterdam Stock Exchange paid out more than 10 billion euro in dividends to their shareholders in 2009, a decrease by 8 billion euro relative to 2008. Financial companies in particular paid out less.
Lower dividend payments financial companies
Dividend payments by the financial sector were practically zero in 2009. Shareholders of banks and insurance companies received nearly 200 million euro, as against nearly 6 billion euro in 2008. The global financial crisis was the main cause for the downturn. Shareholders in the non-financial sector also felt the effects of the recession. Their return on dividends dropped from 12 billion euro in 2008 to nearly 10 billion euro in 2009.
Dividend payments by quoted companies
Acquisition of own shares drops dramatically
The value of own shares purchased by quoted companies dropped from 14 billion euro in 2008 to 1 billion euro in 2009. The economic crunch has made companies more cautious with respect to acquisition of own shares.
Dividend yield Dutch shares
Dividend yield mounts to more than 4 percent
Despite lower dividend payments, the dividend yield of companies quoted on the Amsterdam Stock Exchange has risen from 3.6 percent in 2008 to 4.4 percent in 2009. In 2008, share prices dropped more rapidly than dividend payments. Due to last year’s recession, there are significant differences between the various sectors. The dividend yield in the financial sector was under 1 percent. The non-financial sector achieved a dividend yield of nearly 5 percent. With a dividend yield of 6.6 percent, the sectors construction and mineral excavation accounted for the best results within the non-financial sector.
Jos van Heiningen