Companies That Can Pay Private Dividends Before Tax Reform – Money Times

a tax reformFinally, progress in Congress. Earlier , Parliament Agree to the text sent by Federal government. In one of the highlights, MPs have agreed to reduce the profit and dividend tax from 20% to 15%..

This reform affects markets in two main ways: First, because it is a long-standing demand for tax simplification that many productive sectors are waiting for. On the other hand, it also allows taxation of dividends, something that has been speculated about in recent years.

In this way, companies are already preparing for the change in legislation. If the president Jair Bolsonaro The text acknowledges, the reform is likely to enter into force in 2022.

according to Investments now, in a report sent to customers and received Money TimesSome companies may expect dividends to generate shareholder value.

“In the capital goods segment, we see the potential for a 1.6 percentage point increase in average dividend yield, driven by Way (WEGE3), Mahle Metal Leaf (Leaf 3), Toby (TUPY3) NS Yoshbee (MYPK3)”, as noted by analysts Ricardo France, Luisa Mossi and Wellington Lourenço.

Despite this, in the case of the transportation sector, the team does not see scope for a special dividend.

looking forward to money

For them, shares of Mahle Metal Leve, Tupy and Iochpe are the three companies most likely to pay special dividends in the second half.

For Weg, they calculated the incremental dividend at R$2.6 billion, or a dividend yield of 2.2%, in the second half, increasing the efficiency of the capital structure to zero net debt of 2021 (compared to net cash of R$2 billion).

Mahle Metal Leve could distribute a special dividend of R$673 million, resulting in a dividend of 14.3%.

They continued: “Leverage will remain at comfortable levels of 0.8x net debt/Ebitda 2021, just above 0.4x in our base scenario.”

In Tupy’s case, analysts say the company has the flexibility to pay a special dividend of R$280 million, which yielded an attractive dividend yield of 9.4% in the second half.

“Iochpe could also increase its payout to 40%, versus 30% in our base scenario, resulting in a 7.6% dividend and 3x net debt/Ebida 2022,” they calculate.

Don’t expect anything from them

Air Brazil cannot distribute a dividend due to negative shareholder equity.

Infrastructure franchisees like CCR (CCRO3), Highways (ECOR3), a path (RAIL3) NS Santos Brazil (STBP3)And Analysts say the companies are focusing on the robust pipeline of franchises that will be auctioned in the coming months.

Equities in the car rental sector, in turn, should prioritize growth, and given the greater financial leverage in 2022 for fleet renewal and expansion, “we do not expect Locate (RENT3), Transfer (3 . movie), United (LCAM3) NS Let’s go Distribution of private dividends,” he continues.