Tatneft Dividend May Rise

Tatneft may increase dividend payments to 7.08 rubles a share after net income rose to 54.9 billion rubles ($1.89 billion) last year, Troika Dialog said.

The payout has been 30 percent of net income under Russian accounting standards for the past five years at the insistence of the Tatarstan republic's government, a "key" shareholder in the oil producer, Troika analysts wrote Wednesday in a note.

The dividend would imply a yield of 6.8 percent on preferred shares and 3.5 percent on common shares. Profit rose 45 percent from the previous year, the company said Tuesday. Local standards are not a good indicator of net income under U.S. accounting principles, the analysts said.

(Bloomberg)

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