Antipodes Global Investment has recorded an operating profit for the financial year of $7.7 million, compared to the loss for the six months to December 2018 of $19.3 million, thanks to a strong rebound in global equities markets, particularly after the large selloff in December 2018.
However, despite a positive portfolio performance over the period, the pre-tax net tangible assets (NTA) per was reduced by the $0.07 per share of dividends paid during the year and negatively impacted by the dilutive effect of the exercise of options, the firm said.
The board declared to pay a final dividend of 2.5 cents per share, franked as to 50 per cent, taking the full year dividend to 4.5 cents per share including the interim dividend of two cents per share.
This would equate to a dividend yield of 4.8 per cent, a strong level of income for a global equity portfolio. At the same time, the annual dividend of 4.5 cents per share compared to the FY2018 final dividend of $0.05 per share, which was the company’s initial dividend for the 20 month period from inception on October 2016 to 30 June 2018, equating to an annualised dividend of three cents per share.
Having said that, the FY2019 dividend of 4.5 cents per share represented a 50 per cent increase on this number, the firm said.
Additionally, the company announced an on-market share buy-back of the company’s shares as a proactive measure to address the share price of the company trading at a persistent discount to NTA. This would mean that the company might be able to purchase up to 10 per cent of the its shares during the 12-month commencing 1 August, 2019 and ending 31 July, 2020 at the prevailing share price.
The board said the buy-back would be accretive to NTA.