Russia’s Norilsk Nickel GMKN.MM, the world’s largest palladium producer, said on Wednesday that its board recommended a dividend of 1.85 roubles ($0.0219) a share for the first half of 2026.
In a statement, Chief Financial Officer Sergey Malyshev said the company had sufficient free cash flow and a comfortable level of debt to make the payment, adding that it would help maintain the attractiveness of its shares.
Nevertheless, shares in Nornickel were down around 1.7% on the Moscow Exchange at 10:41 a.m. local time (0741 GMT). The last time the miner paid an interim dividend in 2023, it offered 9.15 roubles a share.
In July, it reported a sharp increase in revenue and net profit due to rising metal prices and said it would consider paying an interim dividend. It has not paid full-year dividends for 2022 to 2025 amid heightened macroeconomic uncertainty and geopolitical tensions.
Shareholders will vote on the board’s proposal on September 30.
Alfa Investments analysts estimated the proposed dividend yield at about 1.5% at current market prices.
Russian billionaire Vladimir Potanin, Nornickel’s CEO, owns 33.51% of the company after transferring a 3.49% stake to his charitable foundation, down from 37% previously. Its second-largest shareholder is aluminium giant Rusal RUAL.MM, with a 26.39% stake.
($1 = 84.3000 roubles)
(Reporting by Anastasia Lyrchikova; Editing by Alessandra Prentice and Thomas Derpinghaus)
