UPDATE 3-ThyssenKrupp restarts dividend as turnaround takes hold

jueves 20 de noviembre de 2014 09:17 GYT
 

* Dividend resumed at 0.11 euros per share vs Reuters poll average of zero

* FY net profit 24 mln eur, first after 3 yrs of losses

* Shares up 2.9 pct (adds CEO quotes, details and background on turnaround)

By Georgina Prodhan and Tom Käckenhoff

ESSEN, Germany, Nov 20 (Reuters) - Germany's biggest steelmaker ThyssenKrupp is resuming dividend payments a year earlier than expected, signalling confidence in a turnaround with the promise of a modest payout for shareholders after it beat profit forecasts.

ThyssenKrupp said on Thursday it would pay 0.11 euros ($0.14) a share for the year to end-September. "It is a signal to our shareholders that we have reached a turning point in our earnings development," Chief Executive Heinrich Hiesinger said.

ThyssenKrupp shares rose more than 3 percent before settling back to trade 1.6 percent higher at 20.04 euros by 1243 GMT, and were the top gainers in a 0.7 percent-lower German DAX.

"They came out with a quite small 11 cents per share announcement, but it's symbolic of the company's transformation after it was pushed into a distressed asset sale and a capital increase a year ago," said analyst Seth Rosenfeld of Jefferies.

Hiesinger took over in 2011, inheriting a company that had spent 12 billion euros on expanding its steel businesses in Brazil and Alabama, only to be hit by a global economic crisis that choked steel demand, and a strengthening of Brazil's real.   Continuación...