Saudi Cement Company's 2025 dividend distribution: SAR 122.4 million in cash dividends
The board of directors of Saudi Cement Company announced, in an official statement published on the Saudi Stock Exchange (Tadawul) website, its recommendation to distribute cash dividends to shareholders for the second half of the fiscal year 2025. This step reflects the company's continued approach of rewarding investors and enhancing confidence in its solid financial performance despite global economic challenges.
Details of proposed cash distributions
According to the statement, the total amount recommended for distribution is SAR 122.4 million. This amount will be divided among 153 million shares eligible for dividends. Accordingly, the dividend per share will be SAR 0.8, representing 8% of the share's par value. This percentage is a positive indicator of the company's ability to generate stable cash flows, enabling it to meet its obligations to shareholders.
Context of the cement sector and its role in the Saudi economy
These distributions take on particular significance when viewed within the broader economic landscape of Saudi Arabia. The cement sector is a cornerstone of the construction industry, which is experiencing unprecedented growth thanks to the mega-projects associated with Vision 2030. The ability of a long-established company like Saudi Cement to maintain its dividend payouts reflects the strength of its financial position and its operational efficiency in meeting the increasing demand for building materials, whether for residential projects or major infrastructure developments.
Eligibility mechanism and payment date
The company clarified the details of dividend entitlement in its statement to ensure transparency for investors. Shareholders who own shares at the close of trading on the day of the company's upcoming general assembly meeting are entitled to the dividends. It is also required that shareholders be registered in the company's records at the Securities Depository Center (Edaa) by the end of the second trading day following the date of the general assembly meeting. This mechanism is a standard practice in the Saudi financial market to guarantee the rights of shareholders.
Expected impact on investors and the market
This announcement is expected to be widely welcomed by traders and investors in the Saudi market, as regular cash distributions enhance the stock's appeal for long-term investment. Furthermore, the commitment of leading companies to dividend payouts sends strong reassuring signals about the health of the local economy and the strength of listed companies. The company indicated that the date of the General Assembly meeting and the dividend payment date will be announced later, after obtaining the necessary regulatory approvals from the relevant authorities, confirming that there are no other regulatory obstacles preventing the completion of the process.
