Shinsegae I&C (035510.KQ) said on the 18th that its board approved changes to the company's shareholder return policy.
The revisions cover the retirement of treasury shares, a new basis for calculating dividend funds and a higher minimum dividend. Shinsegae I&C will cancel 835,090 treasury shares, retiring about 420,000 shares this year and the same amount next year. The shares were acquired through a treasury stock trust and represent about 6% of total shares outstanding. The planned retirement is valued at about 6 billion won ($4.3 million) on a book value basis. Because the shares were bought within the scope of distributable profit, paid-in capital will not be reduced.
The basis for calculating shareholder return funds will shift to 20% of annual net profit, from the previous 15% to 20% of operating profit on a separate financial statement basis. The minimum dividend per share rises to 400 won from 350 won. Even if the amount calculated from the return funds falls below 400 won per share, the company will pay at least 400 won.
The new policy applies to the 2026 and 2027 fiscal years. The company said it will review its shareholder return policy again after the policy period ends, taking business conditions into account.
