ABC Data to resume dividends
Poland’s distributor ABC Data is set to resume dividends after two quarters of good sales. CEO Ilona Weiss (below) told IT Europa that the decision not to pay one last year in order to conserve cash was based on local industry economic conditions and its purchase of another Polish distribution business, S4E.
The impact of the resumption is likely to be limited since ABC Data has a small free float of less than PLN20m in a capitalisation of more than PLN300 million and is majority owned by MCI Capital SA which holds 60.7% of the shares.
ABC Data will pay an interim dividend after Q3 and a full dividend at year end, subject to conditions remaining good, but she is confident, given a strong Q1 and good Q2. “If I have three good quarters, then this will not change,” she says, and it represents a reward for shareholders.
This is a long term move, she says, to show the company’s strength. “We were the highest payer on Poland’s capital market and will be again. We want to show we are the game-changer and send out a positive message.”
The share price has fallen in the last year from above 3 PLN to below 2 PLN and has been fairly static. The distributor has been showing particular strength in the home market, however and has this month opened a Xiomi shop with the vendor, showing phones and other consumer products. This was announced in IT Europa at the start of the year, but it has taken time to localise the products, she says.