Amended dividend proposal for 2019
Due to the uncertainty caused by COVID-19, the Board of Directors of JM is proposing to amend the dividend for 2019. The Board of Directors of JM AB will propose to the general meeting on March 26 a dividend of SEK 6.25, while also maintaining its ambition of a total dividend of SEK 12.50 in 2020.
Assuming that the global situation has stabilized and the visibility for the housing market has reasonably improved, the ambition is to convene an extraordinary general meeting later in 2020 to propose resolution on an additional dividend.
JM’s business development has been stable so far in the first quarter of 2020, in terms of both sales and production, which also means the JM Group has good liquidity and continued financial strength. As things stand at present, the situation with COVID-19 justifies no action in terms of operations other than that which falls within the scope of regular dimensioning on the basis of the JM business model. New production start-ups are also being funded under normal conditions and terms. As for many other companies, there are risks in terms of staffing and in the subcontractor chain, although these have not faced significant disruptions to date.
We are anticipating a reduction in demand for a period, the duration of which is impossible to predict, while the percentage of bookings and sales in ongoing production is currently at a good level. JM’s strategy for bridging the acute COVID-19 period is to safeguard continued good cash flows and production capacity until the market has improved.
For more information, please contact:
Johan Skoglund, Group President and CEO, +46 (0) 8 782 00 00
Claes Magnus Åkesson, CFO, +46 8 782 89 71
This information is information that JM AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:40 CET on 2020-03-23.
JM is one of the leading developers of housing and residential areas in the Nordic region. Operations focus on new production of homes in attractive locations, with the main focus on expanding metropolitan areas and university towns in Sweden, Norway, and Finland. We are also involved in the project development of commercial premises and contract work, primarily in the Greater Stockholm area. JM should promote long-term sustainability work in all of its operations. Annual sales total approximately SEK 16 billion and the company has approximately 2,600 employees. JM AB is a public limited company listed on NASDAQ Stockholm, Large Cap segment. For more information www.jm.se/en.