The Smart Investor
    Facebook Instagram
    Wednesday, October 4
    Facebook Instagram LinkedIn
    The Smart Investor
    • Home
    • About
      • About Us
      • Careers
    • Smart Investing
      • Getting Started
      • Investing Strategy
      • Smart Analysis
      • Smart Reads
    • Special Free Reports!
    • As Featured on BT
    • Our Services
      • Our Services
      • Subscribe now!
    • Login
    • Cart
    The Smart Investor
    Home»Dividend Stocks»3 Stocks That Have Raised Their Dividends During the Pandemic
    Dividend Stocks

    3 Stocks That Have Raised Their Dividends During the Pandemic

    If you are looking for dividend growth, here are three stocks that achieved this despite the pandemic.
    Royston YangBy Royston YangJuly 30, 20214 Mins Read
    Facebook Twitter LinkedIn Email WhatsApp
    Share
    Facebook Twitter LinkedIn Email WhatsApp

    Not every business suffered during the pandemic.

    For instance, the financial, technology and healthcare industries remained relatively unscathed and even thrived as the world recognised the urgency to digitalise.

    The pandemic had the effect of accelerating online adoption and pushing more people and businesses to embrace technology solutions such as online payments and cloud computing.

    And if you are a dividend-focused investor, there’s good news for you.

    Businesses that performed well during this downturn have rewarded shareholders with higher dividend payments.

    Here are three companies that managed to raise their year on year dividends despite the tough conditions.

    Singapore Exchange Limited (SGX: S68)

    Singapore Exchange Limited, or SGX, is Singapore’s sole stock exchange operator.

    The group’s platform allows for the buying and selling of a comprehensive range of securities such as equities, bonds and derivatives.

    SGX has continued to report strong financial results as its business remained unaffected by the pandemic.

    For its fiscal 2021 half-year (1H2021) ended 31 December 2020, the group reported a 9% year on year increase in revenue to S$521 million.

    Net profit climbed 12% year on year to S$240 million, and the bourse operator raised its interim quarterly dividend from S$0.075 to S$0.08.

    At the current share price of S$11.76, shares of SGX offer a prospective 2.7% dividend yield.

    There could be more to come.

    SGX had just announced the acquisition of MaxxTrader, a provider of foreign exchange pricing and risk solutions for sell-side clients, for US$125 million.

    The transaction will add to SGX’s earnings per share from the first year (excluding one-off transaction costs).

    The bourse operator had also detailed its ambition to take its business to the next level during its recent Analyst Day.

    Should growth pan out for SGX, the group may enjoy a further boost in its earnings and could also raise its dividends.

    Full-year 2021 earnings are slated for release on 5 August.

    iFAST Corporation Limited (SGX: AIY)

    iFAST is a financial technology company that operates a platform for the buying and selling of unit trusts, equities and bonds.

    The group enjoyed a strong 2020 due to the strong inflow of client assets of S$3.2 billion.

    Revenue for the full year jumped by 31.7% year on year to S$85.9 million while net profit more than doubled from S$11.1 million to S$25.4 million.

    The dividend per share increased from S$0.0315 in 2019 to S$0.033 in 2020.

    The momentum has carried forward into 2021.

    iFAST recently announced a stellar set of financials for its fiscal 2021 first half (1H2021).

    For the half-year, net revenue surged by 41.4% year on year while net profit soared by 94% year on year to S$15.8 million.

    The group’s assets under administration (AUA) hit a new record-high of S$17.54 billion as of 30 June 2021.

    In line with the good results, iFAST hiked its second interim dividend to S$0.011, up 46.7% year on year from the S$0.0075 in the same period last year.

    If iFAST’s net profit continues to climb, the group could continue to raise its dividend for the remainder of the fiscal year.

    Top Glove Corporation Berhad (SGX: BVA)

    Top Glove is the world’s largest manufacturer of gloves with a current glove production capacity of 100 billion pieces per annum.

    The group employs 22,000 employees, has over 2,000 customers worldwide and exports its products to more than 195 countries.

    The outbreak of the pandemic has led to a strong surge in demand for nitrile gloves used by hospitals and healthcare institutions.

    For the first nine months of its fiscal 2021 ended 31 May 2021, Top Glove reported a more than tripling of its revenue from RM 4.1 billion to RM 14.3 billion.

    Operating profit surged 13-fold from RM 720.8 million to RM 9.4 billion, while net profit jumped 12-fold to RM 7.3 billion.

    For the group’s fiscal 2021 first half, it has already paid out a total dividend of RM 0.417, significantly higher than fiscal 2020’s full-year dividend of RM 0.1183.

    During the third quarter, Top Glove declared a total dividend of RM 0.18, bringing nine-month dividends to RM 0.597.

    Expansion plans are underway to increase the group’s glove production capacity from the current 100 billion to 205 billion by the end of 2024.

    We found 5 SGX stocks that can pay you dividends for life. Find out their names, and why at least one of them should sit in your portfolio in our special FREE report. Click here to download the report now.

    Follow us on Facebook and Telegram for the latest investing news and analyses!

    Disclaimer: Royston Yang owns shares of Singapore Exchange Limited and iFAST Corporation Limited.

    Yahoo
    Share. Facebook Twitter LinkedIn Email WhatsApp

    Related Posts

    (RY) Sheng Siong Dakota Breeze

    Sheng Siong’s Share Price Has Tumbled to a 52-Week Low: Should Investors Get Worried?

    October 4, 2023
    (TSI) dividends 2

    4 Singapore Companies Paying Dividends in October

    October 3, 2023
    (TSI) SPAC Pic 1

    Special Purpose Acquisition Company VTAC Announces a Business Combination: 5 Things Investors Need to Know About

    October 3, 2023
    Facebook Instagram LinkedIn Telegram
    • Careers
    • Disclaimer & Privacy Policy
    • Subscription Terms of Service
    © 2023 The Smart Investor. All Rights Reserved. The Smart Investor, thesmartinvestor.com.sg, an investment education website managed by The Investing Hustle Pte Ltd (Company Reg No. 201933459Z) is not licensed or otherwise regulated by the Monetary Authority of Singapore, and in particular, is not licensed or regulated to carry on business in providing any financial advisory service. Accordingly, any information provided on this site is meant purely for informational and investor educational purposes and should not be relied upon as financial advice. No information is presented with the intention to induce any reader to buy, sell, or hold a particular investment product or class of investment products. Rather, the information is presented for the purpose and intentions of educating readers on matters relating to financial literacy and investor education. Accordingly, any statement of opinion on this site is wholly generic and not tailored to take into account the personal needs and unique circumstances of any reader. The Smart Investor does not recommend any particular course of action in relation to any investment product or class of investment products. Readers are encouraged to exercise their own judgment and have regard to their own personal needs and circumstances before making any investment decision, and not rely on any statement of opinion that may be found on this site.

    Type above and press Enter to search. Press Esc to cancel.