SIDO - Dividend outlook revealed

SIDO - Dividend outlook revealed Industri Jamu dan Farmasi Sido Muncul (SIDO) plans to maintain a dividend payout ratio above 90%, implying a minimum dividend of IDR35 per share. After deducting the IDR18 interim dividend paid in November 2024, the final dividend is projected at IDR17 per share, translating to a minimum yield of 3%. For 2025, SIDO's capex budget is set at IDR150-175 bn, slightly lower than 2024’s IDR150-200 bn allocation. Revenue growth will be volume-driven, with price hikes applied selectively based on purchasing power and raw material costs. Export contributions are targeted to rise to 9-10% of total sales, up from 7% in 2024. Gross margin in the herbal segment is expected to remain stable, while the F&B segment may see margin expansion due to lower raw material costs and economies of scale. Operational expenses, including advertising & promotion (A&P), will be maintained at 10-12% of total revenue. Note that, SIDO recorded revenue of IDR3.92 tn (+9.90% yoy) and net profit of IDR1.17n (+23.18% yoy) in FY24. (Source : Investor Daily)