Zaporizhtransformator Decides On 90% Dividend Payout

At its AGM on March 13, Zaporizhtransformator (ZATR), the only producer of high-voltage transformers for electric power stations in the CIS, decided to pay 90% of its 2006 net profit in dividends (about USD 0.093 per share, 4.7% dividend yield). According to a company press release, dividends will be paid out from April 2 to Dec. 31, 2007. Zaporizhtransformator posted a 2006 net profit of USD 22.8 mln (a significant jump from USD 7.3 mln in 2005). Inna Perepelytsya: The company’s results (including the previously reported an 86% yoy increase in sales in 2006) are due to the active work of its regional representative offices in Russia and Kazakhstan. Costs were also optimized and fell from 76.34% of sales to 70.5% in 2006, which played a role in the net income growth. Zaporizhtransformator’s plans for 2007 are optimistic as its 2006 results. According to Director Ihor Kleiner, the company has already signed contracts for 2007 that are worth USD 198 mln, 50% of Zaporizhtransformator’s target for 2007.