Dividend policy (February 2015)
In line with the objective of strong EPS growth, a progressive dividend policy is set with no year-on-year decline of dividend, showing the Group’s confidence on its future growth prospects. The dividend payout ratio will remain c.50% of Net income. The base of calculation will exclude one offs such as capital gains or losses or asset impairments.
The 2016 fiscal year dividend of 2.04 euros per share has been approved by shareholders in AGM on April 25, 2017. The dividend is up 2% compared to previous year and represents a pay-out ratio of around 57% of adusted net income.
From a tax standpoint, for individual shareholders with a tax residence in France, the distribution of a €2.04 per share (deducted from issue premiums) is considered as a reimbursement of a contribution and is not subject to income tax according to article 112-1° of the French Tax Code. However, this part will be deducted from share acquisition price and will be subject to capital gain taxes when the shares are sold.