BKI Investment Company has stated it remains focused on delivering long-term, sustainable dividend growth despite ongoing global uncertainty. The company reaffirmed its confidence in its diversified, low-cost Australian equity strategy. BKI Investment Company is an investment firm that invests predominantly in Australian equities. It aims to provide shareholders with attractive dividend yields and long-term capital growth.
The group reported a 1 per cent rise in total revenue to $70.5 million for the year to June 30. It declared a fully franked final dividend of 4¢ per share, bringing the full-year payout to 7.90¢, also up 1 per cent. Net operating profit after tax (before special investment revenue) fell 3 per cent to $60.7 million. However, investment portfolio revenue increased 2 per cent to $65.1 million, supported by higher dividends from key holdings including Commonwealth Bank, Telstra and Suncorp.
Special investment revenue dropped 32 per cent to $1.1 million, reflecting fewer special dividends received. BKI’s net portfolio return was 13.4 per cent for the year, slightly below the ASX300 Accumulation Index return of 15.2 per cent, while total shareholder return was 11.5 per cent. The company’s investment portfolio was valued at $1.47 billion at year-end, with approximately $110 million held in cash or liquid assets.
BKI said that with no debt, a very low operating cost structure and approximately $110 million in cash or liquid current assets, it is well-positioned to capitalise on any market opportunities that may emerge in the year ahead.
