Exploring the Dividend Performance and Sustainability of Yihai International Holdings Ltd (YNNHF, Financial)
Yihai International Holdings Ltd (YNNHF) recently announced a dividend of $0.82 per share, payable on 2024-06-18, with the ex-dividend date set for 2024-05-28. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into Yihai International Holdings Ltd's dividend performance and assess its sustainability.
What Does Yihai International Holdings Ltd Do?
Yihai International Holdings Ltd is a leading compound condiment manufacturer in China. The company's extensive product portfolio includes Hotpot soup flavoring, Hotpot dipping sauce products, and various Chinese-style compound condiment products. It generates a majority of its revenue from Hotpot soup flavoring products. Additionally, Yihai International Holdings Ltd offers specialized products such as Thirteen Kinds of Spices Crayfish Seasoner, Minced Garlic Crayfish Seasoner, Spicy Boiled Fish Seasoner, and others, catering to diverse culinary preferences.
A Glimpse at Yihai International Holdings Ltd's Dividend History
Yihai International Holdings Ltd has upheld a consistent dividend payment record since 2021, with dividends currently distributed on a yearly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Yihai International Holdings Ltd's Dividend Yield and Growth
As of today, Yihai International Holdings Ltd has a 12-month trailing dividend yield of 1.68% and a 12-month forward dividend yield of 6.77%, indicating an expectation of increased dividend payments over the next 12 months. Over the past three years, the annual dividend growth rate was -6.80%, which improved to 24.70% per year over a five-year horizon. The 5-year yield on cost of Yihai International Holdings Ltd stock as of today is approximately 5.07%.
The Sustainability Question: Payout Ratio and Profitability
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. As of 2023-12-31, Yihai International Holdings Ltd's dividend payout ratio is 0.21. The company's profitability rank of 9 out of 10, along with a consistent positive net income over the past decade, underscores its strong profitability prospects.
Growth Metrics: The Future Outlook
Yihai International Holdings Ltd's robust growth rank of 9 out of 10 indicates a promising growth trajectory. The company's revenue per share and 3-year revenue growth rate of 2.10% per year, although underperforming 67.18% of global competitors, combined with a 3-year EPS growth rate of -3.00% per year, highlight areas for potential improvement. The company's 5-year EBITDA growth rate of 6.60% also suggests moderate growth, underperforming 49.09% of global competitors.
Conclusion: Evaluating Dividend Sustainability and Growth Prospects
Considering Yihai International Holdings Ltd's consistent dividend payments, robust profitability, and payout ratio, the dividend appears sustainable. However, the company's mixed growth metrics indicate areas that could be strengthened to support future dividend growth. Investors should monitor these developments closely. For those seeking high-dividend yield opportunities, GuruFocus Premium offers tools such as the High Dividend Yield Screener.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
