(118 CZK, -4,14%) will shelve plans for a stock buyback to preserve cash and increase the chance of paying a dividend this year, according to Chief Executive Officer Francois Vleugels. “We decided shareholders would prefer a dividend payout,” said Vleugels.
Before deciding whether to make a payment to investors, the company must determine how much of last quarter’s decline in sales was the result of clients draining inventories and how much was caused by decreased use of its products, Vleugels said.
Prague-based paid a cash dividend of 17.65 koruna ($0.80) last year, its first payout in 10 years, according to data compiled by Bloomberg.
(Source: Bloomberg)