ChemrezTech to declare P198M in dividends

Biodiesel producer Chemrez Technologies Inc. (ChemresTech) on Monday said it would declare P198 million in cash dividends this year, up 25 percent from last year's P158.6 million. The ChemrezTech board said in its annual stockholders' meeting the dividends consist of a six-centavo regular cash dividend and a nine-centavo special cash dividend. The cash dividend is equivalent to 39 percent of the company's P509- million net income in 2010. All ChemrezTech stockholders on records as of July 27, 2011 are entitled to the cash dividends payable Aug. 10. “We have regular and special cash dividends every year to reward loyal shareholders. The dividend this year is higher than last year’s due to higher income in 2010 compared to 2009," ChemrezTech said. In 2010, the company reported a net profit after tax of P509 million, up 7 percent from P474 million in 2009. In the first quarter of 2011, ChemrezTech's net income rose by 28 percent to P205 million, from P160 million in the same period last year. Net profit margin, meanwhile, went up to 14 percent in the period, from 11 percent, as the company was able to bring down the cost of its raw material. In its material sourcing strategy, ChemrezTech said it was able to predict that the cost of material would increase this year. The company's consolidated sales for the period, on the other hand, expanded by 7 percent to P1.49 billion. Exports accounted for 14 percent of revenues. —JMT/VS, GMA News