Shareholders of the Dar es Salaam Stock Exchange (DSE) have approved a proposed dividend of 145/- per share for the fiscal year ending December 31, 2023. The decision was made during the Annual General Meeting (AGM) held yesterday.
The DSE board proposed a dividend representing 61% of after-tax profit, amounting to a total of 3.45 billion TZS. This marks a 25% increase from the previous year's dividend of 116/- per share, which totaled 2.76 billion TZS. The substantial rise in dividend payout is attributed to the DSE's strong financial performance throughout the past year.
In the fiscal year ending December 2023, the DSE Group reported a profit after tax of 5.69 billion TZS, up 24% from 4.60 billion TZS in the prior year. Mary Mniwasa, Acting Director of the DSE, attributed this profit increase to a surge in the sale of shares and bonds, higher investment income, and revenue from data trending sales and investment training activities.
The DSE Group’s total revenue saw a 21% increase, reaching 12.22 billion TZS compared to 10.07 billion TZS in the previous year. The Group's total assets also grew by 10%, from 31.5 billion TZS to 34.8 billion TZS. This growth was driven by increased investments in short-term deposits funded by operational revenue.
The Group's shareholders' equity rose by 10%, from 28.18 billion TZS in 2022 to 31.07 billion TZS. This increase is directly related to the profit generated by the Group. Additionally, the DSE’s Fidelity Fund assets grew by 13%, from 2.84 billion TZS to 3.21 billion TZS by the end of December 2023, primarily due to investments in fixed deposits.
The DSE is currently in its second five-year strategic plan, with a focus on enhancing market liquidity. This plan aims to increase the liquidity of share transactions, thereby promoting a more dynamic and efficient market.
The approved dividend is expected to be distributed around August this year, reflecting the DSE's commitment to rewarding its shareholders amidst its notable financial achievements.
The DSE's robust performance in the past fiscal year underscores its critical role in the economic landscape, driven by strategic investments and operational excellence