In September 2022, Petra announced that the Board had approved a dividend policy targeting an ordinary dividend within the range of 15% to 35% of adjusted free cash flows after interest and tax and having adjusted for any windfall earnings.
The Board would ordinarily look to the annual dividend being paid 1/3 following its interim results and 2/3 after its full year results. The dividend policy will take effect from 1 July 2022 and the Board will consider whether to pay a maiden dividend under this policy following publication of Petra’s interim results for the six months ending 31 December 2022. In a year where Petra generates windfall earnings, the Board may consider paying a special dividend.
Prior to declaring or recommending any dividend, the Board will consider the Group’s capital commitments, including, amongst other things, approved expansion projects and debt servicing and repayment commitments and associated covenant requirements, to ensure that the Group maintains a healthy balance sheet and sufficient liquidity and headroom.