"Investor Protection-Rules, Risk Knowledge" XXVII.

-- Cash dividend exercise those things.

1. what is a listed company cash dividend?

The main way a company's profits are distributed is to distribute dividends to shareholders. Dividends are divided into dividends and dividends, dividends are the stock interest enjoyed by preferred shareholders, dividends are the income of common shareholders, of which dividends are divided into cash dividends (cash dividends) and stock dividends (shares). Cash dividends, specifically the distribution of part or all of the surplus and current profits payable by a joint stock company to shareholders in the form of cash dividends.

What are the conditions for 2. cash dividends from listed companies?

According to the relevant rules, the after-tax profits of listed companies after making up losses and withdrawing provident funds can be distributed to shareholders. A listed company shall set out in its articles of association the specific content of the company's profit distribution policy (especially the cash dividend policy), the form of profit distribution, the period interval of profit distribution, especially cash dividends, the specific conditions of cash dividends, the conditions for the payment of stock dividends, the minimum amount or proportion of cash dividends in each period, etc. A listed company shall strictly implement the cash dividend policy determined by the articles of association and the specific cash dividend plan approved by the general meeting of shareholders.

The SFC and the Exchange actively encourage cash dividends from eligible listed companies. If the following circumstances occur in the process of formulating and implementing the cash dividend policy of a listed company, the independent directors shall express clear opinions: there is no clear and clear shareholder return plan or specific cash dividend policy in the company's articles of association; the company's articles of association stipulate that cash dividends will not be paid; the company The articles of association stipulate the cash dividend policy, but it is impossible to determine the profit distribution plan for the current year in accordance with the established cash dividend policy; the company has the ability to pay dividends but not dividends during the annual reporting period, especially if it has not paid dividends for many consecutive years or the level of dividends is low; the company has a large proportion of cash dividends.

In addition, the cash dividends of listed companies also have a certain impact on the company's refinancing. According to relevant regulations, the conditions for listed companies to refinance and publicly issue securities include "the cumulative distribution of profits in cash or stocks in the last three years is not less than the last three years. The 20% of the average annual distributable profit realized".

3. on the cash dividends of listed companies, how to exercise the rights of shareholders?

Investors can read the articles of association and annual report of listed companies to understand the profit distribution of listed companies and whether they comply with the provisions of the articles of association, analyze the reasonableness of listed companies not to pay cash dividends, and then make investment judgments. For cash dividend schemes in doubt, shareholders can actively exercise their rights through various channels such as communicating with listed companies, participating in shareholders' meetings to consider dividend proposals, and participating in investor briefings. For example, some listed companies stipulate in their articles of association that "if the company makes a profit in the current year and has distributable profits after making up for losses and withdrawing statutory provident funds in accordance with the law, the company shall pay cash dividends; if the company has no major investment plan or major cash expenditure, the accumulated profits distributed in cash within three years shall not be less than 30% of the annual distributable profits for three years, and make a detailed definition of major investment plans or major cash expenditures." Shareholders can compare their profit distribution plans by checking the actual profits, distributable profits, major investments and cash expenditures of listed companies to see whether they meet the conditions. Cash dividends have been implemented under the circumstances, and whether the cumulative cash dividend ratio within three years has reached the standard.

Can 4. investors participate in the consideration of the dividend bill?

The specific plan of cash dividend of listed companies needs to be decided by the general meeting of shareholders, and small and medium-sized shareholders can express their views on the cash dividend plan by participating in the general meeting of shareholders to exercise voting rights and inquiry rights. According to relevant regulations, listed companies shall strictly implement the cash dividend policy determined by the company's articles of association and the specific cash dividend plan approved by the general meeting of shareholders. If it is really necessary to modify the cash dividend policy in the company's articles of association, it shall meet the conditions stipulated in the company's articles of association. After detailed demonstration, the corresponding decision-making procedures shall be performed and approved by more than 2/3 of the voting rights held by shareholders attending the general meeting.

Tips:

Cash dividends are one of the main ways for investors of listed companies to obtain returns. Investors should pay attention to participating in corporate governance, pay attention to cash dividends, pay more attention to the cash dividend policies and specific cash dividend plans of relevant listed companies, and actively participate in the deliberation of dividend proposals. Express your views on the cash dividend plan and safeguard your legitimate rights and interests.