tate-owned lender PT Bank Mandiri will distribute a total dividend of Rp 6.21 trillion (US$464.6 million) equal to Rp 266.27 per share, from its 2016 financial results.
This amounts to 45 percent of the 2016 net profits, which plummeted by 32.1 percent to Rp 13.8 trillion last year. The dividends consist of a regular dividend and a special dividend, 30 percent and 15 percent of the net profits, respectively.
Bank Mandiri vice president Sulaiman Arif Arianto claimed the high dividend payout ratio would not affect the lender’s performance.
"We have considered the liquidity required by the company to develop its future business," he said during a press conference after a shareholder's meeting in Jakarta on Tuesday.
(Read also: Bank Mandiri sees profit nosedive in 2016 amid rising NPL)
The general shareholder's meeting also appointed Destry Darmayanti and Makmur Keliat as independent commissioners replacing Aviliani and Abdul Aziz. Destry is currently a commissioner of the Indonesia Deposit Insurance Corporation (LPS) and Makmur is a lecturer at the University of Indonesia.
Destry used to be a Bank Mandiri economist before she moved to the LPS. "We are sure that Destry Darmayanti and Makmur Keliat will support the corporation’s business expansion," Sulaiman said. (ags)
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