China Merchants Shekou boosts dividend despite profit dip

China Merchants Shekou Industrial Zone Holdings (SZSE:001979) will increase its cash dividend payout for 2024 despite a dip in net profit. The company's board proposed a cash dividend of RMB 1.9353 per 10 shares, totaling RMB 1.75 billion. This represents 45% of the year's net profit attributable to shareholders, and will be paid to shareholders of record on March 17, 2025. This plan emphasizes returns to investors even amidst a challenging economic environment. This commitment comes even as the company reported a 36.09% year-over-year decrease in net profit attributable to shareholders, falling to RMB 4.04 billion, largely due to decreased gross profit margins from property sales and increased impairment provisions on real estate projects. The company's revenue increased slightly by 2.25% to RMB 178.95 billion. The firm's auditor, KPMG Huazhen, has also released a special audit report confirming that the company's major shareholder and other affiliates did not misappropriate the firm's funds. The board of directors has been charged with managing the firm and monitoring accounting practices.