By - Team Kalkine Media
A dividend is one of the vital facets that is looked upon by an investor while making an equity investment. To generate consistent cash and maximize long-term returns, incorporating dividend paying stock into your portfolio can be the most effective for an investor.
There are times when even the consistent dividend paying stocks might cut payments due to uncertainty, for instance, like the pandemic had forced many companies to temporarily suspend dividend payments or defer dividends entirely. However, a few dividend shares remained consistent or some have even improved, and some have resumed the payment of dividend with the situation returning to normal.
Here we will be discussing some of the stocks listed on the London Stock Exchange that have been successful in announcing dividend.
Copyright © 2021 Kalkine Media Pty Ltd.
The British-Dutch multinational energy sector company declared its Q4 2020 results along with unaudited full year results, recording a loss of US$ 4,014 million and US$ 21,680 million, respectively. The loss was mainly driven by lower realised prices for oil and LNG along with lower production volumes and realised refining margins.
Despite incurring a loss, Royal Dutch Shell has actively distributed total dividends of US$ 1.3 billion in Q4 2020. The company also disclosed that it expects to pay an interim dividend of US$0.1735 per share in Q1 2021, which would be around 4 per cent above the dividend paid in the previous quarter.
The house builder came up with its half-year results for the six-month period ended 31 December 2020. The company said it made a solid end to H1 2020, witnessing total completion of homes reaching 9,077, which was up 9.2 per cent from the same period the previous year, it was 8,314 for H1 2019. There was a surge in the revenue of 10.1 per cent from £2,266.2 in H1 2019 to £2,494.7 in H1 2020.
The Board has decided to resume dividend payments after careful consideration. It said it would be paying an interim dividend of 7.5 pence per share for the reported period.
Also Read: 5 Top Dividend Stocks to Watch in 2021
The British healthcare technology company released its interim report 2021 for the six months ended 31 December 2020. Renishaw saw a drastic increase in the adjusted as well as statutory profit before tax to £43.4 million (H1 2019-20: £14.3 million) and £63.9 million (H1 2019-20: £9.9 million).
The dividend programme was reinstated by the Board as it approved an interim dividend of 14.0 pence net per share (2020: nil) to be paid to its shareholders on 6 April 2021.
The London-headquartered multinational consumer goods company disclosed its full year updates, recording a 5.8 per cent decrease in the underlying operating profit to €9.4 billion as compared with the previous year.
However, the disruption of Covid-19 pandemic did not deter the company from maintaining dividend payment throughout the year. The company increased its dividend by 4 per cent in the fourth quarter to €0.4268 per share.
The company released a report announcing the payment of a second interim dividend of 6.6 pence per share, which will be paid on 23 February to the shareholders of the company.
The real estate investment trust company revealed that it would be paying an interim dividend (property income distribution) of 0.3333 pence per share for the period from 1 January 2021 to 31 January 2021. It will be paid to the shareholders of the company on 26 February.
A fourth property income dividend of 0.46 pence per share was announced by the Directors of UK Commercial Property REIT Limited, to be paid on 26 February in respect of the quarter ended 31 December 2020.
The Board of Renewables Infrastructure Group Limited declared the quarterly interim dividend of 1.69 pence per ordinary share for Q4 for the three-month period ended on 31 December 2020, to be paid on 31 March to the company’s shareholders.
Conclusion
With the roll out of Covid-19 vaccine programme at a large scale, the shareholders are hopeful that the year 2021 will look a lot different than 2020. The coming months should see life returning to normal or something closer to that. This would also help the dividend payers and value stocks, which have struggled throughout 2020.