
KUALA LUMPUR (Mar 11): NTPM Holdings Bhd rose as much as 4% in early trade after the tissue paper manufacturer said it will pay its first interim dividend for the current financial year ending April 30, 2013.
At 9.42am, NTPM was traded at 49 sen with some 860,000 shares done after rising as much as two sen to 49.5 sen. The stock was transacted among the most-active entities this morning.
NTPM said last Friday (March 8) it plans to pay a first interim single-tier dividend of 14.5% of the stock's par value of 10 sen. This translates into 1.45 sen a share.
The company which trades ex-dividend this March 21, will pay the dividend on April 8.
RHB Research Institute Sdn Bhd analyst Mohammad Ashraf Abu Bakar said in a note that NTPM's technical indicators show that the stock may rise to 55 sen. This is more than double the manufacture’s latest reported book value of 27 sen a share.
The dividend comes at a time when NTPM’s financials have improved. It reported a 21% rise in net profit to RM22.48 million in the first half ended October 31, 2012 from RM18.58 million a year earlier. Revenue climbed 7% to RM233.39 million from RM217.86 million.