Kenmare is committed to making compelling shareholder returns as part of our strategic priority to allocate capital efficiently. Since announcing our dividend policy in late 2018, Kenmare has paid seven consecutive dividends, in addition to completing a $82 million share buy-back.

2022 dividend payout target

Kenmare's dividend payout target for 2022 is 25% of profit after tax, in line with the payout target for 2021. This is above the Company's dividend policy of paying a minimum of 20% of profit after tax as dividends.

H2 2022 dividend

Kenmare generated record first half profit after tax of $62.5 million in H1 2022 (H1 2021: $48.0 million). The Board has therefore approved an interim 2022 dividend of USc10.98 per share (H1 2021: USc7.29), for a total distribution of $10.4 million (H1 2021: $8.0 million). The 2022 interim dividend has been calculated as 66.6% of 25% of H1 2022 profit after tax ($62.5 million), in line with the intention to target a one-third/two-thirds interim/final dividend split.

The Company will pay the interim dividend on 21 October 2022 to shareholders of record at the close of business on 23 September 2022. Irish Dividend Withholding Tax (25%) must be deducted from dividends paid by the Company, unless a shareholder is entitled to an exemption and has submitted a properly completed exemption form to the Company’s Registrar.

The dividend timetable is as follows:

Announcement of interim dividend

17 August 2022

Ex-Dividend Date

22 September 2022

Record Date

23 September 2022

Currency election cut-off date

27 September 2022

Payment Date

21 October 2022

2021 dividend

In 2021 Kenmare announced a dividend payout target of 25% of profit after tax and the 2021 dividend was in line with this goal.

Kenmare paid a 2021 dividend of $32.1 million or USc32.71 per share (2020: USc10.00), up 227% on 2020, comprising an interim dividend of USc7.29 per share (paid in October 2021) and a final dividend of USc25.42 per share (paid in June 2022).

Background on dividend policy

In October 2018, Kenmare announced a dividend policy to return a minimum of 20% of profit after tax to shareholders. In 2019, the Company paid its maiden dividend, as planned. Returning cash to shareholders through shareholder returns is in line with the Company's strategic priority to allocate capital efficiently. Read more about Kenmare's strategic priorities here.

Kenmare's dividend policy is subject to prevailing product market conditions and ensuring that the Group retains a prudent level of cash to fund debt and capital requirements.

Dividend Witholding Tax

Kenmare is obliged to deduct Irish Dividend Withholding Tax (DWT) at a rate of 25% from all dividends, unless a shareholder is eligible for an exemption and has provided the appropriate forms claiming that exemption to the Company’s Registrars by the record date for the dividend.

Many shareholders who are not resident in Ireland, along with certain Irish companies, trusts, pension schemes, investment undertakings and charities, may be entitled to claim exemption from DWT. DWT will always be deducted from dividends paid to Irish resident individuals. For further information please visit: https://www.revenue.ie/en/companies-and-charities/dividend-withholding-tax/index.aspx.

Here is the direct link to the Dividend Witholding Tax Exemption Form.

If DWT was deducted from a dividend, despite the shareholder being eligible to claim an exemption because the completed forms were not with the Registrar by the dividend record date, refunds of the tax can be sought from the Revenue Commissioners by completing this form.

Neither the Company nor its Registrars can give tax advice. If a shareholder is in any doubt about their tax position they should consult their own tax adviser.