Metro rises after higher than expected dividend proposal

Metro AG

14/12/2023 08:27

** Shares in Metro  B4B.DE  rise around 4% after the German
wholesale retailer announced higher than expected dividend, even
as it posted FY sales and adj. EBITDA miss
    ** The company said it intends to pay a dividend of 0.55
euros per share for the 2022/23 financial year vs. 0.25 euros
expected in LSEG IBES consensus
    ** "Shares dipped first after-hours, but then recovered and
were finally up 3% on the high dividend proposal", a local
trader says
    ** Still, consensus expectations were missed by 2% in
regards to sales and by 8% in regards to adj. EBITDA, Vontobel
analysts say
        ** They add that while a proposed dividend means a
dividend yield of 9.4%, it should not be sustainable as the main
part of the dividends is based on one-off gains from the
divestment of India operations
  

 (Reporting by Mateusz Dobrzyniewski)
 ((Mateusz.dobrzyniewski@thomsonreuters.com))