KUALA LUMPUR (March 27): As the date of the group's annual general meeting (AGM) remains uncertain, Malayan Banking Bhd (Maybank) has decided to reclassify its final cash dividend of 39 sen per share to a second interim cash dividend of the same amount, to be paid on May 6, 2020. 

Initially, the final cash dividend was proposed in the group’s fourth quarter 2019 results, for the approval of shareholders at the forthcoming AGM.

However, the date of the AGM is now still being deliberated and remains uncertain, in light of the Covid-19 pandemic and the subsequent directive by the Malaysian government to refrain from holding a gathering of larger numbers.

"We believe that this uncertainty over the AGM date, which also creates uncertainty over the payment date of our proposed final dividend, is unfavourable to our shareholders, as the AGM date could be deferred as long as the heightened risk of the pandemic persists,” Maybank group president and chief executive officer Datuk Abdul Farid Alias said in a statement today.

“This re-classification will enable our shareholders to receive their dividend payout in a timely manner,” he added.

Maybank noted that the reclassification has been approved by its board of directors, as well as the relevant authorities.

With the move, Maybank's full-year dividend payout remains the same at 64 sen per share, including the 25 sen interim dividend declared earlier, totalling RM7.19 billion or some 87.8% of net profit for the financial year ended Dec 31, 2019 (FY19).

For FY19, Maybank’s net profit increased to RM8.19 billion from RM8.11 billion in the year-ago period, on the back of higher revenue of RM52.84 billion versus RM47.32 billion.

At the midday break today, Maybank shares were 1.38% or 10 sen higher at RM7.37, valuing it at RM82.85 billion.