Dividend and financial policy
The dividend policy of the Company is a pay-out ratio of 40 to 60 percent of the earnings per share, subject to adjustments for larger one time items.
The Board has further determined that the financial policy should be that the Group will strive to maintain a net debt that does not exceed 3 times EBITA.
The Board continually reviews the financial position of the Company, and the actual level of net debt will be assessed against anticipated future profitability and cash flow, investment and expansion plans, acquisition opportunities as well as the development of interest rates and credit markets. The Board is committed to maintain an investment grade credit rating.
Dividend 2016
At the Annual General Meeting of Swedish Match AB (publ) on April 28, it was resolved, in accordance with the proposal of the Board of Directors, to pay an ordinary dividend of 8.00 SEK per share and a special dividend of 12.00 SEK per share, in total 20.00 SEK per share. The record date for the right to receive a cash dividend was May 2, 2016. On May 6, Swedish Match paid a dividend totaling 3,764 MSEK, consisting of an ordinary dividend of 1,506 MSEK and a special dividend of 2,258 MSEK due to the partial divestment of shares in STG.
| Dividend history | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 | 2000 | 1999 | 1998 | 1997 | 1996 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend, SEK | 16.00 | 29.50 | 7.50 | 7.30 | 7.30 | 6.50 | 5.50 | 4.75 | 4.10 | 3.50 | 2.50 | 2.10 | 1.90 | 1.70 | 1.60 | 1.45 | 1.35 | 1.22 | 1.08 | 1.05 | 1.05 |
| Transfer of capital to Swedish Match shareholders | 2016 | 2015 | 2014 | 2013 | 2012 | Total |
|---|---|---|---|---|---|---|
| Dividend paid | 5,522 | 1,464 | 1,453 | 1,459 | 1,334 | 11,233 |
| Repurchase of own shares, net | 1,249 | 1,854 | 836 | 164 | 1,532 | 5,636 |
| Total | 6,771 | 3,318 | 2,289 | 1,623 | 2,866 | 16,868 |
