Sportswear giant Puma has said that it will return up to 50 percent of its net income to shareholders through its dividend policy and share buybacks.
The move comes as Puma reported that its balance sheet at the end of 2023, alongside a strategy to achieve profitable growth, would result in “robust cumulative free cash flow generation over the next few years”, allowing for an increased shareholder payout.
The latest figure is a bump up from the initial dividend policy, which had a payout ratio of 25 to 40 percent of the group’s net income.
In addition to this, Puma also said it would initiate a share buyback programme to complement the renewed policy by another 10 to 25 percent.
Ending May 6, 2025, the first tranche of the buyback programme will include own shares with a total purchase price of up to 100 million dollars, a process that is to be executed through the stock exchange.
