Hyosung ITX to implement quarterly dividend system

Hyosung ITX, an information technology affiliate of Hyosung, will strengthen its shareholder return policy by increasing dividends and buying treasury shares, the firm said on Tuesday.

The company said it would implement a quarterly dividend system -- from the current one-time dividend per year -- starting this year and increase dividend payments by 30 percent. It also plans to increase shareholder value by purchasing its treasury shares and encouraging the electronic voting system.

Hyosung ITX plans to pay 150 won ($0.13) per share three times a year and 200 won per share in a year-end dividend through quarterly dividends. In this case, the dividend per share will total 650 won, up 30 percent from the 500 won scheduled to be paid in a year-end dividend in 2019.

The firm said it has also been steadily buying treasury stocks as part of its shareholder-friendly policies. Hyosung ITX’s return to shareholders over the past three years averages 70.1 percent, compared to an average of 31.4 percent of the nation’s listed firms, according to the company.

CEO Nam Kyung-hwan said the measure is “to show the company’s solid confidence about its business growth and willingness to raise shareholder value.”

Hyosung ITX is an IT solution affiliate within Hyosung Group. It builds contact centers that serve as a window for customer response and network infrastructure such as cloud services and also sells display equipment such as beam projectors. 

By Shin Ji-hye (shinjh@heraldcorp.com)