[Asia Economy Reporter Oh Ju-yeon] NH Investment & Securities forecasted that Macquarie Infrastructure's annual dividend per share will remain strong until 2033, with the current stock price-based annual distribution yield expected to be between 6% and 9%.
According to NH Investment & Securities on the 16th, Macquarie Infrastructure's dividend for the first half of this year was set at 360 KRW per share, a 3% increase compared to 350 KRW in the same period last year.
Researcher Kim Dong-yang analyzed, "The increase in operating income due to the full-scale receipt of dividends from Shin Airport Highway, Cheonan-Nonsan Expressway, and Sujeongsan, along with the positive impact of reduced operating expenses from additional fee adjustments, are factors contributing to the increase in net profit this year."
He added that, following the restructuring of the Cheonan-Nonsan Expressway project in December 2019 (change in implementation agreement), the timing for receiving the Minimum Revenue Guarantee (MRG) compensation advanced from "14 months after the end of the occurrence year" to "1 month after the end of the occurrence quarter," which is also a factor for increased dividend receipts from the Cheonan-Nonsan Expressway in 2020-2021.
Researcher Kim stated, "Macquarie Infrastructure has minimized the difference between the first and second half dividends by considering annual cash flow when deciding the first half dividend," and added, "Except for 2009, the second half dividend has been at least at the level of the first half dividend or exceeded it through non-recurring cash inflows." He further predicted that the annual dividend this year will be at least 720 KRW.
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