Do Russian companies have a dividend policy? Analysis and prospects for the development of the dividend policy of a joint-stock company in Russia. Type of dividend policy

St. Petersburg National Research University of Information Technologies, Mechanics and Optics

student

Alexandrova A.I., Candidate of Economic Sciences, Associate Professor, St. Petersburg National Research University of Information Technologies, Mechanics and Optics

Annotation:

The problem of the optimal distribution of profits of Russian corporations in the current economic conditions is quite acute. The purpose of the dividend policy is to establish the necessary proportion that will link the current profit of the owner with its future value, which also affects the growth of the market value of the enterprise, which will be required for its strategic development in the future. The distribution of profits is carried out on the basis of a well-developed scheme, which is associated with the internal policy of the enterprise, which consists in the general development strategy of the enterprise, aimed at ensuring an increase in its market value in order to increase the volume of investment resources, which increases the material interest of the owners of the enterprise and its employees.

The problem of the distribution of profits of Russian corporations is quite acute. The objective of the dividend policy is to establish the right proportions, which will bind the owner of the current profit to its future value, which also affects the growth of the market value of the company, which will be required for its strategic development in the future. Implementation of profit distribution takes place on the basis of the elaborated scheme, which is associated with the internal policy of the enterprise, which is a common development strategy, aimed at ensuring the increase of its market value in order to increase the volume of investment resources , as a consequence, increases the material interest of owners of the enterprise and its employees.

Keywords:

dividends; corporation; profit; income

dividend; corporation; profit; income.

UDC: 336.671

In modern economic conditions, the selection of new economic instruments, technologies and directions for the distribution of profits in large corporations seems to be especially relevant. For a more accurate analysis, it is necessary to consider the profit distribution mechanism, which is typical for the corporate sector of the Russian Federation.
The transition to a market form of management forces us to think about how to optimally distribute the profits of Russian commercial companies among three subjects: the state, owners and employees. Moreover, in today's conditions, maximum interest is focused on such a topic as the specifics of profit distribution in large corporations. The process of searching for the latest economic instruments, technologies and directions for distributing the income of large companies is especially timely at the stage of formation in the conditions modern economy Russian Federation. It is important to note that this search is due to a number of problems. First, due to the fact that most of the large Russian companies created in the form of joint-stock companies (hereinafter referred to as JSC), performance indicators and the possibility of subsequent normal functioning of corporations are built on two components: on the one hand, on the amount of income in the current year, on the other, on the efficiency of distribution according to the workflow settings. One of these areas is the distribution of net profit in the form of dividend payments to shareholders, that is, the owners of the corporation.

The purpose of the dividend policy (hereinafter - DP) is to establish a proportion that links the current profit of the owner with its future value. And this, in turn, has an impact on the growth of the market value of the organization, which will be required for its strategic development in the future.

The practical experience of most Russian corporations in this area is at the stage of formation, and the final decision on the payment of dividends is in no way regarded by companies as an apparatus for influencing their market value. According to certain analyzes, it has been established that about 60-70% of the share capital in the Russian Federation is collected in large or controlling stakes, the owners of which sometimes do not at all increase the market value of the enterprise, i.e. they are not interested in getting big income through dividends and thanks to the growth of stock quotes.

A corporation's decision on dividends overlaps with other funding and investment decisions. For example, some corporations pay relatively low dividends because the organization's management is sufficiently confident in the future of the corporation regarding future prospects and intends to use net profit for long-term development. IN this case Dividends are paid if, after meeting investment needs, the company has non-capitalized profits. At the same time, other companies finance capital investments through long-term loans and borrowings, and this, in turn, makes it possible to direct most of the net profit to the payment of dividends. Despite the rather short period of existence of the new Russian economy, already in this moment there is a need to introduce additional amendments and changes to the existing mechanism for distributing the profits of economic entities.

The initial stage of the formation of the DP is the analysis, research and evaluation of the factors that determine this policy. In the practice of financial management, these factors are usually divided into 4 groups:

factors that characterize the investment opportunities of the organization;
factors that characterize the ability to generate financial resources from other sources;
factors that are associated with certain objective limitations;
other factors.

It is advisable to show the key characteristic features of the distribution of profits in corporations of the Russian Federation in the form of separate theses.

First, in JSCs, retained earnings of the reporting year are used to pay dividends. Also, retained earnings can be oriented towards the formation of a reserve fund. In JSC, the reserve fund should be about 15% authorized capital, and the formation this fund is made thanks to annual deductions, which amount to about 5% of net profit. It is important to note that profits can also be used to form special purpose funds. In a JSC, the list and procedure for creating funds are regulated by the charter of the company and decisions authorized bodies society management. The resources of the funds are used only for the purchase of shares of the enterprise, which are sold by the shareholders of this company, for the purpose of further placement among its employees.

Secondly, there are specific regulations in the Russian Federation that to some extent regulate the process of paying dividends. Based Russian Regulations about joint-stock companies, the process of declaring a dividend is carried out in 2 stages. At the first stage, the interim dividend is declared by the directorate and has a certain fixed amount. And at the second stage, the dividend is finally approved by the general meeting based on the results of the year, taking into account the payment of interim dividends. The size of the final dividend per 1 share is proposed for approval by the meeting of the directorate of the company. The amount of the dividend cannot be more than that set by the directors, but at the same time it can be reduced by the meeting. A fixed dividend on preferred stock, just like interest on bonds, is set at data release valuable papers. Based on the legislation of the Russian Federation, sources of dividends can be:

net profit of the reporting period;
retained earnings of previous years and special funds that are created to meet this goal.

The latter are used to pay dividends on preferred shares if there is a lack of profit or loss of the company. For this reason, the corporation may pay the full amount of the current dividend in an amount that exceeds the profit of the ending period. But, despite this, the option of distributing the net profit of the current period is considered to be the basic one. Do not forget that there are also national traditions and foundations in the content of the DP, general trends regarding the payment of dividends. These traditions have marked the following distinctive characteristics of the DP of large Russian corporations. Thus, the amount of dividends is not connected with the desire of the corporation to elevate the reputation of the company in the eyes of investors. The amount of dividends is connected with the usual legalization of income by owners. In the process of setting the timing and procedure for the payment of dividends, they are first guided by the charter, and secondly by legislation, since this is permissible.

The practice of the Russian Federation in paying dividends excludes the possibility for investors to acquire and sell shares knowing in advance the data according to the dividends due to them. Ultimately, the study of the evolution of approaches to the distribution of profits in foreign and domestic economic literature and the identification characteristic features the distribution of profits of large companies as the main criterion for the optimal distribution of profits, the presence of an effective DP is accepted. It involves the division of the net profit of the corporation in order to increase dividends. The preference for this criterion is indicated by the fact that a clearly constructed and systematized DP, thanks to theoretical notes and practical calculations, improves the performance of an enterprise.

According to the results of the study of the DP of large companies over the past 5 years, the following conclusions were formulated. Almost all large organizations distribute net profit in the process of generating dividends. In the course of observations that were made in 2008-2009, despite the financial and economic crisis, most corporations declared and paid dividends. Their share in net profit has decreased in almost all corporations, and in some - very, very significantly. In addition, there are several companies that do not pay dividends at all, despite the fact that they receive significant profits. In almost all sectors of the economy there is no clearly defined type of DP. It is important to bear in mind that DP is not given much importance - it is rather difficult to classify any company as part of a certain dividend payout strategy - the share of dividends in net profit is very unstable. In the DP of most companies, the main emphasis is on providing a continuous process of paying dividends and at least a purely symbolic increase in them.

It can be said that companies intend to exert a psychological influence on investors. And in this regard, there are quite phenomenal situations when corporations that do not make a profit or even incur losses still continue to pay dividends.

On the one hand, the corporation should try to find the optimal ratio and reach a balance that will express the optimal ratio between current dividends and future growth, and at the same time a balance that contributes to the reliable and even development of the economic activity of the enterprise. On the other hand, to increase the value of shares to the limit, which is especially important and necessary for large Russian companies, which turned out to be undervalued, unlike their foreign counterparts.

In the process of selecting a DP, the company's management must take into account the differences in the values of its shareholders. If the main shareholders see an interest in receiving dividends, then, in this case, the management needs to make a decision on the payment of dividends and properly form the DP. It is important to consider that a minority of shareholders who do not agree with the practice of paying dividends established in the corporation will reinvest their own capital in other corporations, and the structure of shareholders will be more homogeneous. It is important to consider that shareholders prefer cash over other dividend payout configurations.

Bibliographic list:

1. Balabanov I.T. The financial analysis and business entity planning. / I.T. Balabanov. - M.: Finance and statistics, 2009. - 208 p.
2. Great Encyclopedia of Oil and Gas [Electronic resource] // Formation - reserve capital - Site access mode: http://www.ngpedia.ru/id566830p1.html, free. - Zagl. from the screen. - Yaz. Russian
3. Bukhgalteria.ru [Electronic resource] // Reducing the tax burden - Site access mode: http://www.buhgalteria.ru/article/n124745, free. - Zagl. from the screen. - Yaz. Russian
4. Bulletin of Chelyabinsk state university[Electronic resource] // Evloev R.M. Features of profit distribution in Russian corporations - Site access mode: http://www.lib.csu.ru/vch/247/vcsu11_32.pdf#7, free. - Zagl. from the screen. - Yaz. rus.
5. Mirkin Ya.M., Dobashina I.V. What awaits Russia in the future (macroeconomics, stock market)? / Magazine Equivalent, 2002. - No. 1.
6. Federal Law of December 26, 1995 No. 208-FZ (as amended on December 22, 2014) "On Joint-Stock Companies" (On JSC) // Collection of Legislation of the Russian Federation, 2014.

Reviews:

06/15/2015, 13:45 Skripko Tatyana Aleksandrovna
Review: The article is good, one amendment: hired workers, not workers. After correction, you can publish.

07/06/2015, 14:31 Degtyar Andrey Olegovich
Review: The article is interesting. In my opinion, it is necessary to expand the conclusions, outlining the prospects for further research on the problem posed. The list of references needs to be updated sources. After revision, the article can be recommended for publication.

07/15/2015, 18:03 Degtyar Andrey Olegovich
Review: It is necessary to finalize the abstract and add keywords. The abstract does not need to substantiate the relevance of the topic, but should briefly describe the main results presented in the article.
07/19/2015, 17:39 Degtyar Andrey Olegovich
Review: The article is recommended for publication.

07/19/2015, 21:51 Petrov Nikolai Nikolaevich
Review: Tatyana, good afternoon! A very strong article for a student. Recommended for publication.

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Ministry of Education and Science of the Russian Federation

federal state budgetary educational institution higher professional education

Altai State Technical University I.I. Polzunova

Faculty of Parallel Education

Department of Economics, Finance and Credit

Explanatory note to term paper

by discipline

Financial management

Dividend Policy Russian enterprises

Student group FK-202

M.A. Latkina

Work manager

Associate Professor, Ph.D. T.N. Glazkov

Barnaul 2012

Introduction

Conclusion

Appendix A. Ternovaya O.A. Protection of shareholders' rights to receive dividends

Appendix B. Serebryakova A.A. Dividend policy of Russian corporations

Appendix V. Sibov N.M. Corporate governance as a determinant of the dividend policy of Russian companies

Appendix G. Danilochkin S. Conceptual interpretation and classification of dividend policies in relation to the enterprise

Appendix D. Bocharova I.Yu. Dividend policy in the corporate governance system of companies

Appendix E. Lukasevich I.Ya. Features of the Dividend Policy in the Russian Federation

Introduction

An integral part of effective corporate governance is an effective dividend policy. Dividend policy implies the obligation of the company to send to shareholders a certain part of net profit. It includes the choice of the size of the dividend, the source of financing of dividend payments, the form of payment of dividends.

The relevance of the topic lies in the need to create an effective dividend policy at modern Russian enterprises to maintain financial stability enterprises at a sufficient level, further development and investment attractiveness. The dividend policy is integral part company management structures. A correctly chosen dividend policy indicates the level of professionalism of the company's management as a whole and serves as a guarantee for the further development of the company, in particular as an investment-attractive object. Dividend policy should be consistent with the overall goals of the company, one of whose tasks is to maximize the wealth of shareholders. However, the dividend policy exists not only to meet the needs defined under the general concept of “shareholder enrichment”, but also the profitable use of dividends within the company, which can affect the capital structure and financing of the company. In addition, the dividend policy can have a significant impact on the price of a company's shares.

Main goals:

Consideration of the theoretical foundations of the dividend policy and its impact on the investment attractiveness of the company

Determination of ways to effectively manage the dividend policy

The purpose of this course work: to study articles related to the dividend policy of Russian companies and to establish how an effective dividend policy is built.

To achieve this goal, it is necessary to consider in detail the questions that the authors pose in the articles. So Bocharova I.Yu. in his article "Dividend Policy in the System of Corporate Governance of Companies" considers the timing and procedure for paying dividends, trends in the dividend policy of Russian companies. The same questions, but from a slightly different point of view, are reflected in the article by Lukasevich I.Ya. "Features of the Dividend Policy in the Russian Federation", Serebryakova A.A. "Dividend policy of Russian corporations" and Egorova I.E. "Dividend policy of joint-stock companies: an empirical analysis on the example of the Republic of Sakha". O.A. Ternovaya in the article "Protection of the rights of shareholders to receive dividends" touches upon the causes of litigation on the payment of dividends and methods of their regulation. Dorofeev M.L. in the article "The Matrix of Dividend Policy Management of a Corporation" offers a new approach to managing a company's dividend policy based on a financial matrix. All authors in their works describe in detail directly the formation of the dividend policy, its goals and objectives. Thus, considering different points of view on the same issues, it is possible to conduct a comparative analysis, note the similarities and differences in the views of the authors and draw conclusions.

1. Trends in dividend policy in Russia

Trends in the dividend policy of the Russian Federation, according to I.Ya. Lukasevich, due to a number of factors, the most significant of which are:

1) Disproportions in the development of individual industries and the structure of the stock market, which is due to the development of the oil and gas sector, metallurgy, and telecommunications. The main share of dividend payments (almost 84%) falls on the oil and gas sector, which is associated both with high energy prices and with the significant needs of enterprises for additional investments, attracted mainly from abroad.

2) The composition of the owners, due to the peculiarities of the mechanism of privatization of enterprises, as a result of which a significant share of shares belongs to the state, a narrow circle of persons or management. The dividend policy has been most developed at enterprises with state participation, which, for one reason or another, occupy a monopoly position in their markets - OAO Gazprom, Svyazinvest, Rostelecom, Transneft, Sberbank, etc. Almost all such enterprises in their charters provided for provisions regulating their dividend policy and relations with shareholders.

According to a study conducted by Standard and Poor's in conjunction with the Center for Economic and Financial Research and Development under the Russian Economic Scale (CEFIR NES), the state directly or indirectly owns controlling stakes in 30 of the 90 largest public companies.

3) The information closeness and opacity of many enterprises is to underestimate the official profit. Currently, about 40% of the two hundred domestic enterprises whose shares are listed on the MICEX and RTS do not pay dividends at all. Many of them still remain informationally closed and are not ready to share their income with shareholders.

Bocharova also thinks the same, arguing that the share of net profit allocated to dividends is gradually growing in Russian companies, but the dividend yield remains low. A significant number of Russian public companies pay dividends irregularly. Their size is so insignificant that, until recently, the payback period for investments with dividend yield was 30 or even 50 years. Dividend payments by Russian companies depend on the availability of available free cash in the corporation. In 1999-2005 the growth in the market value of Russian shares exceeded the dividend yield. The average dividend yield on shares was 2-3%. According to experts, in Russian corporations in 2007-2009. more than 1 trillion was credited. rub. dividends. Of these, about 80% of dividends were received by majority private owners of Russian companies, while minority shareholders and the state received less than 200 billion rubles.

Serebryakova, in her article "The Dividend Policy of Russian Corporations", argues that the recipients of dividends should have enough information to form an accurate idea of the conditions for the payment of dividends and the procedure for their payment. Information on the payment of dividends by the company should reflect the real state of affairs of the company. An announcement of the payment of dividends in the absence of the necessary conditions for this, in particular, in violation of the restrictions established by law, can lead to the formation of a distorted idea of the true state of affairs in society. The company is not recommended to make a decision on the payment of dividends even when such a decision, without formally violating the restrictions established by law, nevertheless leads to the formation of false ideas about the company's activities. The decision to pay dividends should allow the shareholder to obtain comprehensive information regarding the amount and procedure for paying dividends. In this regard, the decision on the payment of dividends must indicate the amount of dividends on shares of each category (type), as well as the form and period of payment of dividends.

Ternovaya in the article “Protection of the rights of shareholders to receive dividends” suggests that in order to prevent information secrecy in the regulation on dividend policy, it is recommended to determine not only the general tasks of the company to improve the welfare of shareholders, but also the rules governing individual issues payment of dividends, taking into account the current legislation, for example, on the procedure for calculating net profit and part of the profit allocated for the payment of dividends, the conditions for their payment, the procedure for calculating the amount of dividends on shares for which the amount of dividends is not determined by the company's charter, the minimum amount of dividends on shares of different categories (types), the procedure for paying dividends, including the timing, place and form of their payment.

4) Another specificity lies in imperfection legislative framework. According to Lukasevich, some enterprises, such as OJSC “Surgutneftegas”, prior to the adoption of the relevant amendments to the Federal Law of April 6, 2004 “On Joint Stock Companies”, from year to year adhered to their own methodology for calculating net profit, which could be directed to dividend payments only after taxation, capital investment and depreciation charges. There is also a problem with the timing of dividend payments. In many countries, the term for receiving dividends does not exceed three days.

Bocharova in the article "Dividend policy in the system of corporate governance of companies" highlights a number of additional trends:

1) a gradual increase in the amount of dividends paid. For large companies preparing for an IPO, and for companies with strategic foreign investors, the dividend policy is necessary condition successful development.

2) the dividend yield of securities is low, which is typical for emerging markets. However, shares of a number of commodity companies dominated by high returns. Thus, according to the results of 2010, the dividend yield of NOVATEK shares was 0.7%, Rosneft - 1.3%.

3) the spread of the practice of using dividend payments to redistribute funds in favor of the main shareholder of the company. It should be noted that this occurs as a result of a high concentration of ownership. The size of dividends is determined not from market considerations, but from the needs of the main shareholder in financing, although minority shareholders also benefit;

4) spreading the practice of formalizing the dividend policy in domestic normative documents companies. These documents stipulate the minimum share of net profit directed to the payment of dividends. Basically, the direction for dividend payments in the amount of at least 15% of the company's net profit is fixed. It is believed that the adoption of a special document on dividend policy increases the predictability of the company's actions and makes it more friendly and attractive to investors, and therefore improves corporate governance practices.

2. Theoretical basis company's dividend policy

2.1 The concept and essence of dividends

Bocharova I.Yu. In his work, he singles out the following concept of a dividend:

According to tax code In the Russian Federation, a dividend is any income received by a shareholder (participant) from an organization in the distribution of profit remaining after taxation on shares (shares) owned by a shareholder (participant) in proportion to the shares of shareholders (participants) in the authorized (share) capital of this organization. Dividends also include any income received from sources outside the Russian Federation, related to dividends in accordance with the laws foreign countries.

The decision to pay dividends is the right of the company, the implementation of which depends primarily on the availability of profit. From the moment the decision on the payment of dividends is made, they become declared. The payment of declared dividends is the obligation of the company.

There are various classifications of dividends. Dividends are classified according to:

From the form of payment;

From the frequency of payments;

From the type of share;

From the method of determining the amount of dividend

In addition, the following types of dividends are distinguished

Cumulative dividends - the possibility of accumulating and paying out undeclared or partially declared dividends on preferred shares over a certain period of time;

Participation dividends are dividends of holders of preferred shares for which the charter does not determine the amount of the dividend. These shareholders have the right to receive dividends on an equal basis with the owners of ordinary shares;

Fixed dividends - dividends determined by the charter, for example, as a fixed share of the par value of preferred shares;

Variable rate dividends are dividends paid at a floating rate based on the nominal value of preferred shares or a share of the company's net profit.

Issues of payment of dividends are regulated by civil legislation, federal laws. When developing a dividend policy, companies should be guided by the Code of Corporate Conduct.

There are two main channels through which a company can pay out money to its shareholders: either pay dividends to everyone, or conduct a share buyback. Share buybacks can take many forms, such as by auction, by buying shares on the open market, or by buying from a major holder at a negotiated price. A more popular way to pay out money to shareholders is to pay dividends.

Classification of dividends according to the article by Bocharova I.Yu. "Dividend policy in the system of corporate governance of companies"

2.2 Basic theoretical studies of dividend policy

Serebryakova in her article “The Dividend Policy of Russian Corporations” highlights the following theories of dividend policy research:

The theory of dividend independence (F. Modigliani, M. Miller), which states that the value of a firm is determined by the profitability of its assets and investment policy. The proportions of income distribution between dividends and reinvested earnings do not affect the total wealth of shareholders;

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Figure 2.1.1 Classification of dividends

Serebryakova describes this theory in a similar way, adding that the price of an organization's shares or the price of its capital do not depend on the dividend policy, i.e. investors do not care whether they receive income in the form of an increase in the value of shares or dividends. The value of an organization is determined by its ability to make a profit and depends on the investment policy. The payment of high dividends entails the issuance of new shares, while the share of the value of the organization offered to new investors must be equal to the amount of dividends paid. In the theory of dividend independence, there are many restrictions that cannot be provided in real practice of profit management.

The theory of preference for dividends or “birds in hand” (M. Gordon, D. Lintner), which suggests that a ruble of expected dividends is worth more than a ruble of expected capital gains. Dividend maximization is preferred over profit capitalization;

The theory of minimizing dividends or the theory of tax preferences (R. Litzenberger, K. Ramaswami), Efficiency is determined by the criterion of minimizing tax payments on current and future incomes of owners. Since the taxation of current income in the form of dividends is always higher than that of future income, the dividend policy should ensure the minimization of dividend payments and, therefore, the maximization of capitalization of profits in order to obtain the highest tax protection for the total income of owners. This approach to dividend policy does not suit many shareholders.

2.3 Dividend policy hypotheses

According to Sibova's article, there are the following dividend policy hypotheses:

Hypothesis about the use of dividend policy as a corporate governance mechanism: to reduce the amount of agency costs, shareholders direct free cash to pay dividends if they cannot be effectively invested (free cash flow hypothesis).

R. La Porta considered two hypotheses of the dependence of the dividend policy on the quality of corporate governance, built on the basis of the agency theory.

According to the first hypothesis (substitution hypothesis), large dividends are paid by companies with weak protection of shareholder rights in order to ensure a good reputation. Thus, the lower the quality of corporate governance, the higher the probability of dividend payments and the higher the agency costs. In other words, dividends are supposed to be a substitute for good corporate governance.

According to the second hypothesis (outcome hypothesis), dividends are paid due to pressure from minority shareholders. That is, the better the corporate governance in the company, the better the rights of minority shareholders are protected. As a result, the company pays more dividends.

So far, there is no unequivocal proof of the consistency of one of these hypotheses.

Sibova also highlights the hypothesis that dividend policy is a substitute for high-quality corporate governance.

3. The procedure and terms for paying dividends in foreign and domestic practices

3.1 Foreign practice of paying dividends

According to Serebryakova's article, the terms and procedure for paying dividends are determined by the charter or by a decision of the general meeting. If the charter does not reflect the time period for the payment of declared dividends, then it should not exceed 60 days from the date of the decision to pay dividends. This 60-day period shall also apply in situations where the general meeting has decided to appoint a longer period. Dividends in the US are usually paid quarterly.

Dividend Policy Procedure

2. Preparation by the board of directors of a list of shareholders entitled to receive dividends

3. Announcement by the general meeting of shareholders of dividends

4. Payment by the company of declared dividends in the following order:

All accumulated dividends on cumulative preference shares that have not been declared and paid;

Dividends on preference shares in order of priority, as defined in the articles of association;

Dividends on preferred shares, the amount of dividends on which is not determined by the charter, and on ordinary shares

The amount of the dividend is determined by the board of directors, which announces its decision on a certain date, called the "announcement date". The board of directors said in a statement that dividends will only be paid to shareholders who are registered shareholders as of a certain date, called the “record dale”. The date on which dividend checks are mailed to shareholders is known as the “payment date”. It usually occurs 2 weeks after the "last date of registration". According to the rules stock exchange shares must be sold and bought with the right to a dividend up to the date referred to as the "day when the share loses the right to dividend" (ex-dividend date). After this date, shares are sold without dividends. Dividends are "special" (labelled) or "ordinary" (regular). Basically, dividends are ordinary. Ordinary dividends are most often referred to as "extra" (extra).

As part of the implementation of best corporate governance practices in the United States, there is a special “dividend aristocrats” index, which includes companies that have consistently increased shareholder payouts for 25 years. It is enough to miss the promotion once for the company to be struck off the elite list. So, by 2010, over the past 25 years, 43 companies from the S&P500 index companies increased dividends annually.

3.2 Russian practice of paying dividends

According to Bocharova, when determining the dividend policy, Russian companies are mainly guided by the principle: in growing markets developing countries investors are guided by the growth prospects of the company's capitalization, and not by the amount of dividends paid. The size of dividends matters, rather, in developed markets, which are characterized by smaller fluctuations in the value of the company's securities. In Russian companies, the share of net profit allocated to dividends is gradually growing, but the dividend yield remains low.

In accordance with the changes made federal law dated December 28, 2010 No. 409-FZ "On amendments to certain legislative acts of the Russian Federation in terms of regulating the payment of dividends (distribution of profits)” 7, the period for payment of dividends (part of retained earnings) must not exceed 60 days.

At the same time, a joint-stock company is not entitled to provide an advantage in the timing of dividend payments to individual owners of shares of the same category. The payment of declared dividends on shares of each category must be made simultaneously to all owners of shares of this category.

The limitation period for receiving dividends is three years from the moment these 60 days expire, unless the company's charter establishes a longer period, but not more than five years. Only for those cases where the shareholder could not receive his dividends under the influence of violence or threat, the statute of limitations is actually canceled. As a general rule, a missed statute of limitations cannot be restored.

According to paragraph 1 of Art. 31 of the JSC Law, each ordinary share of a company provides the shareholder - its owner with the same amount of rights, and therefore, all shareholders - owners of shares for which a decision has been made to pay dividends, have the right to receive them. If dividends are not paid within the period established by law, the shareholders have the right to recover them within judicial order. If the decision on the payment of declared dividends is not made, the shareholder of the company does not have the right to demand the payment of dividends.

Guided by the fundamental rules enshrined in the Regulations on the Dividend Policy of a particular legal entity, as well as focusing on its financial and economic indicators, the Board of Directors (Supervisory Board) develops recommendations both on the amount and in general on the payment or non-payment of dividends. Even if the company has net profit at the end of the reporting period, the board of directors will not necessarily recommend to the general meeting to make a decision on the payment of dividends.

Judicial practice also stands on the positions of independence of the company's decision on the payment of dividends. Thus, the Federal Arbitration Court of the East Siberian District, in its decision of September 1, 2009 in case No. AZZ-9804/0818, indicated that making a decision on the payment of dividends to shareholders is the right, and not the obligation of the company, the court is not entitled to check the economic feasibility of decisions, adopted by the board of directors and the general meeting of shareholders.

According to Sibova's article based on the expert-analytical report "Corporate governance practices in Russia: defining the boundaries national model conducted by KPMG in 2011:

1) two-thirds of the surveyed companies consider bank loans and loans as a priority source of financing for the next 3 years;

2) one third chooses debt financing;

3) only a small number of Russian firms will struggle to attract new shareholders.

In 2006, up to 90% of joint-stock companies refrained from regular dividend payments, which led to frequent corporate conflicts. In 2007, Standard & Poor's agency noted some improvement in the disclosure of one of the elements of corporate information - the amount of dividends recommended by the board of directors, but in 2008 this position worsened again.

However, in 2010, according to Bank of Moscow analysts, payments reached 19 billion rubles, which, although it was lower than the pre-crisis level, was 18% higher than in 2009.

Russian joint stock companies tend to pay dividends once a year after the annual meeting of shareholders. However, some companies pay dividends semi-annually (NOVATEK, NLMK) or quarterly (Severstal-Avto). For example, the NOVATEK company, consistently following the policy of increasing dividends and implementing a significant investment program, increased the payment of interim dividends for 1H 2011 by 1.7 times, which will spend about 30% of net profit under RAS;

Dividend yields on securities are low, which is typical for emerging markets. However, the shares of a number of commodity companies demonstrate high profitability. Thus, according to the results of 2010, the dividend yield of NOVATEK shares was 0.7%, Rosneft - 1.3%, Lukoil - 3.4%, Surgutneftegaz - 8.8%.

After the crisis, banks are also reviewing their dividend policy. Thus, Gazprombank approved the amount of dividends for 2010 in the amount of 2.1 billion rubles, i.e. 17.5% of net profit compared to 36% in 2009. VTB Bank used to pay dividends for 2010. 6 billion rubles,

i.e. 14% of net profit compared to 25.5% in 2009. On the contrary, Rosselkhozbank increased dividend payments in 2010 to 25% of net profit (in 2009 - 16%). The Supervisory Board of Sberbank of Russia approved a new dividend policy, which provides for an increase in dividend payments up to 20% of net profit (in 2010 - 12%, in 2009 - 10%).

3.3 Dividend policy procedure

Stage 1 - determining the investment opportunities of the company, assessing the level of solvency of the enterprise, the level of dividend payments of competing companies, etc.

Stage 2 - choosing the type of dividend policy

Types of dividend policy

1. Conservative approach:

1.1 Residual dividend policy;

1.2 Policy of a stable amount of dividend payments.

2. Compromise approach:

2.1 Policy of the minimum stable amount of dividends with a premium in certain periods.

3. Aggressive Approach:

3.1 Politics stable level dividends;

3.2 Policy of constant increase in the amount of dividends.

The residual policy of dividend payments assumes that dividends are paid after the investment needs of the enterprise are fully satisfied. If, according to the existing investment projects, the level internal rate return exceeds the weighted average cost of capital (or another chosen criterion, for example, the financial profitability ratio), then most of the profit is directed to the implementation of such projects, as it will provide a high growth rate of capital (deferred income) of the owners. The obvious advantage of such a policy lies in the high rates of development of the enterprise, in ensuring its financial stability. The disadvantage of this policy can be traced in the instability of the size of dividend payments, the complete unpredictability of their sizes in the coming period, and even the refusal to pay them during a period of high investment opportunities, which contributes to a decrease in the market price of the company's shares. Mostly, the residual policy of dividend payments is used in the early stages of the development of the enterprise, at the height of its investment activity.

A policy of stable dividend payments. In this case, the dividend payout is fixed amount over a sufficiently long period. This policy is reliable, which is its undoubted advantage. It is embodied with a sense of confidence among shareholders in the invariance of the amount of current income, regardless of the prevailing circumstances and activities of the enterprise. On stock market share prices of these companies are stable. Disadvantage - lack of connection with real financial results enterprises, therefore, during periods of low profits, the investment activity of the company is reduced to zero, which may adversely affect its financial condition. In order to exclude negative consequences the amount of dividend payments can be set at a fairly low level.

The policy of the minimum stable amount of dividends with a premium in certain periods (the policy of "extra-dividend"). A more rational type of dividend policy. The main advantage of this policy is a stable guaranteed payment of dividends in the minimum amount (similar to the policy of a stable amount of dividend payments), with a good connection with the financial results of the company, allows you to increase the amount of dividends in favorable periods of the company's activity, leaving the level of investment activity at the same level. Such a dividend policy is more successful in companies where the size of profits in dynamics is unstable. The main disadvantage of this policy is that, with a sufficiently long payment minimum size dividends, the attractiveness of investing in the shares of this company is reduced and entails a decrease in their market value.

Policy of a stable level of dividends. Establishment of a standard ratio of dividend payments in relation to net profit. The advantage is the simplicity of its formation and dependence on the amount of profit received. The main disadvantage is the instability of the size of dividend payments per share, determined by the instability of the amount of generated profit. Such instability can cause sharp fluctuations in the market value of shares for certain periods, which prevents the maximization of the market value of the enterprise and the implementation of such a policy (it "signals" a high level of risk in the economic activity of this enterprise). Even with a high level of dividend payments, such a policy does not usually attract risk-averse investors (shareholders). Only mature companies with stable profits can afford to implement this type of dividend policy, if the size of profits varies significantly in dynamics, this policy generates a high risk of bankruptcy.

Policy of constant increase of the size of dividends. Provides for a stable increase in the level of dividend payments per share. The increase in dividends in the implementation of such a policy occurs, as a rule, in a firmly established percentage of growth in relation to their size in the previous period (the "Gordon Model" is built on this principle, which determines the market value of the shares of such companies). The advantage of this policy is the provision of a high market value of the company's shares and the formation of its positive image among investors additional releases. The lack of flexibility in its implementation and the constant growth of financial tension is a drawback of such a policy - if the growth rate of the dividend payout ratio increases (i.e. if the dividend payout fund grows faster than the amount of profit), then the investment activity of the enterprise is reduced, and the financial ratios stability decrease (ceteris paribus). Therefore, only really prosperous joint-stock companies can afford the implementation of such a dividend policy - if this policy is not backed up constant growth profits of the company, then it is a sure way to its bankruptcy.

3rd stage - profit distribution in accordance with the chosen type of dividend policy.

4th stage - determination of the level of dividend payments and the amount of dividend per share.

5th stage - determination of the form of dividend payments: cash dividends, dividends in shares and other property, buyback of own shares

6th stage - analysis of the dividend policy based on the indicators of the company's market activity: net profit per share, dividend payout ratio, dividend yield of shares, etc.

3.4 Features of the calculation and distribution of dividends

The decision to pay dividends is made at the general meeting of shareholders, the amount of dividends cannot be more than recommended by the board of directors (supervisory board) of the company.

According to Serebryakova's article, the announcement of the payment of dividends is a right, not an obligation of the company, so the general meeting of shareholders may not make such a decision. Decisions on the payment of dividends are made for each category of shares. The term and procedure for payment are determined by the charter of the company or by the decision of the meeting of shareholders.

The Company is not entitled to make a decision on the payment of dividends in the following cases:

Until full payment of the entire authorized capital of the company;

If on the day such a decision is made, the company meets the signs of insolvency (bankruptcy), i.e. declared bankrupt;

If on the day of such a decision, the value of the company's net assets is less than its authorized capital.

It is worth paying attention to the fact that the procedure for paying dividends to owners of ordinary and preferred shares is different. The owners of ordinary shares have the right to vote at the general meeting of shareholders and the amount of dividends received on shares directly depends on the net profit of the company. Owners of preferred shares do not have the right to vote at the general meeting of shareholders, however, the amount of the dividend on such shares is determined in a fixed amount of money or as a percentage of the par value of the share. In other words, if at the end of the financial year the company did not earn net profit (had a loss), then the owner of an ordinary share will not be able to count on dividends, and the owner of a preferred share has the right to receive a dividend.

The share of preferred shares of a joint-stock company cannot exceed 25%. Shareholders holding preferred shares receive dividends first, followed by shareholders holding ordinary shares.

The receipt of dividends is the income of a shareholder (participant) of the organization and is taxed (Article 43 of the Tax Code of the Russian Federation). The tax rate on income of individuals receiving income from equity participation in the activities of an organization in the form of dividends is taxed at a rate of 9% (Article 224 of the Tax Code of the Russian Federation). An organization that pays dividends to the founders is a tax agent and is obliged to calculate, withhold from the taxpayer and pay the amount of tax. If the recipient of dividends is a person who is a non-resident of the Russian Federation, then the tax is calculated and withheld at a rate of 15% (before 2008, the rate was 30%).

According to Belenkaya's article, the amount of dividend payments is proposed to be calculated according to the following formula: the amount of mandatory contributions to the reserve fund, the amount of dividends on preferred shares (according to the UES charter, this is 10% of net profit), as well as the amount of advance use of profit in reporting period for investment. Denote the resulting sum Div1.

The resulting value is then compared with the Div2 indicator calculated using the following formula:

Div2 = K1* (EBITDA - interest - income tax)*ADJ_K1

where K1 is the coefficient annually set by the RAO Board of Directors based on the results of nine months of the reporting year,

ADJ K1 - correction factor reflecting the financial condition of RAO UES (at steady state, the coefficient is 1, at satisfactory - 0.7, at unsatisfactory - 0.4)

The smaller of the two totals (Div1 or Div2) will be allocated to dividends on ordinary shares.

3.5 Dividend policy management matrix

According to Dorofeev's article, the UDP matrix is designed to conduct effective management of the dividend policy, aimed not only at maximizing the profitability of the corporation's owners in the short term, but also at increasing the value of the corporation in the future.

The growth of business value is the most important component of the welfare of shareholders, which forms the financial basis for accruing dividend payments in the future, development financial methodology, which allows assessing the impact of the effectiveness of dividend policy on the process of creating business value, is of high practical importance.

The financial matrix is a financial management tool, which is an n-dimensional table or coordinate system that reflects the dependence economic categories selected as its variables (parameters). The following financial indicators were chosen as parameters of the UDP matrix:

Dividend payout ratio, or dividend yield ratio (KDV):

Stock Dividend Yield Ratio (KDD),

Growth rate of the indicator of economic value added (K E V A)

The dividend payout ratio (KPV) shows the willingness of the corporation's management to distribute net profit to pay dividends. It reflects the contribution of management to the welfare of shareholders, its ability and willingness to provide the expected return to shareholders. All this manifests itself in the form of specific actions - the payment of dividends and can be measured quantitatively. The dividend payout ratio (DPV) is linked to the interests of the company's management. It is calculated by the formula:

KDV = determine the net profit to pay dividends. It reflects the contribution of management to the welfare of shareholders, its ability and willingness to provide the expected return to shareholders. All this manifests itself in the form of specific actions - the payment of dividends and can be measured quantitatively. The dividend payout ratio (DPV) is linked to the interests of the company's management. It is calculated by the formula:

KDV \u003d Div / NPR where

KDV - dividend payout ratio,%;

Div -- valuation of paid dividends;

NPR - the size of net profit.

Stock Dividend Yield Ratio (KDD) is an indicator of the return on investment in the equity capital of a particular corporation for a potential investor. It can be used to compare various investment projects and is a criterion for making a decision on the purchase of shares in a given corporation. CDD reflects the sphere of interests of the corporation's shareholders.

Economic interpretation of the values of KDV% coefficients

1) QDV interval

Introduction

Scientific and practical interest in the problem of protecting the right of a shareholder to receive dividends is not accidental and is caused by several important circumstances.

Firstly, the study of the nature of dividends has long been of interest to prominent Russian civil law experts and for a long time caused heated discussions. For example, A.I. Kaminka considered the dividends received by the shareholder as the goal that the participants of the joint-stock company strive for, like any entrepreneur whose activity is aimed at making a profit.

Secondly, at present, the dividend policy of a significant part of Russian joint-stock companies needs to be further improved, and in order to develop specific recommendations on ways to protect the shareholder's right to receive a dividend, it is necessary to analyze the current legislation, the practice of its application, as well as identify the most common violations related to payment of dividends. It is also important to answer the question: from what moment does a shareholder have the right to defend his right to a dividend in court?

Course work

By discipline: Corporate Finance

On the topic of: The Dividend Policy of a Corporation on the Example of the VTB Group of Companies

The work was done by a student of the 331st group:Oorzhak A.O.

The work was checked by the teacher:

Trushevskaya Anna Alimovna

Saint Petersburg

INTRODUCTION………………………………………………………….…………….2

1. The concept of the dividend policy of corporations……...…………………....…4

1.1 Regulatory aspects of dividend policy regulation………………………………………………………………………….…...…....4

1.2 Main issues addressed in the implementation process

dividend policy………………………………………………………...……..6

1.3 Net effect of the dividend policy….………………..….…..9

1.4 Theory of independence of the price of capital from the dividend policy. …....…10

1.5 Theory of the impact of dividend policy on the price of capital…………..…....12

1.6. Types of dividend policy…………………………………………...……………………………………………………………………………………………………………………………………………………………………………………………………………………………………….

Accounting for the accrual and payment of dividends at the enterprise……..…....….29

2.1 Accounting for accrual and payment of dividends……………………………....…..…..29

2.2 Dividends paid in cash……………...….………….33

2.3 Accounting for dividends paid by shares………………….........……..…36

2.4 Accounting for share splits………………………………………....…….……..…38

Impact of dividend policy on results

corporate activities……………………………………………..….…..…38

3.1 Calculation and payment of VTB Group dividends…………..…....…….….……39

CONCLUSION…………………………………………………........…….…….42

REFERENCES………………………........……...……44

APPLICATION…………………………...……………………………….……..47

Introduction

The relevance of the chosen topic of the course work lies in the fact that the strategic task of managing any corporation is to maximize the wealth of shareholders, and, therefore, the dividend policy should be based on the interests of the latter. It would be misleading to think that best solution for the owners of shares is the allocation of dividend payments of most of the profits. It is known that maximizing the wealth of shareholders involves not only increasing their current income, but also the long-term growth of the corporation. And here we need to remember that retained earnings are the most important source of equity that can be invested in business development.
The joint-stock company does not assume any obligations regarding regular payments to its shareholders. After all, they are co-owners of the company (as opposed to bondholders - creditors of the enterprise), which means they must take the risk of possible losses.
The key issue when choosing a dividend policy for a Russian corporation is the question of choosing the most optimal dividend policy, i.e. such a policy that would ensure both the maximization of the total wealth of the corporation, and sufficient funding for the activities of the corporation. Finding the optimal dividend policy is an extremely difficult task: it is necessary to find a balance between current dividends and future growth that would maximize the price of a corporation's shares. The difficulty lies in the fact that the optimal dividend policy is the subjective policy of each individual Russian corporation, which is chosen based on the characteristics of the corporation's activities, its owners, investment opportunities and other factors influencing the dividend policy.

The purpose of the study of the course work is the theory and concept of the dividend policy of corporations.
To achieve the goal of the course work, it is necessary to solve the following tasks:
- to study the theoretical aspects of the dividend policy of corporations, as well as the regulatory and legal aspects of regulating the dividend policy;
- Accounting for accrual and payment of dividends.

Calculation and payment of dividends of the VTB group of companies
The object of the study of the course work is the calculation and payment of dividends of the VTB group of companies for 2012, the subject of the study is the organization of economic relations in the process of forming the dividend policy of corporations.
1. The concept of a corporation's dividend policy

Dividend policy - the policy of a joint-stock company in the field of distribution of company profits, that is, the distribution of dividends between shareholders. Dividend policy is formed by the board of directors. Depending on the goals of the company and the current/forecast situation, the company's profits can be reinvested, written off to retained earnings or paid out in the form of dividends. The term "dividend policy" is in principle associated with the distribution of profits in joint-stock companies. However, the principles and methods of profit distribution considered in this case are applicable not only to joint-stock companies, but also to enterprises of any organizational and legal form. In this regard, financial management uses a broader interpretation of the term "dividend policy", which is understood as the mechanism for forming the share of profit paid to the owner in accordance with the share of his contribution to the total amount of the company's own capital. Also, the dividend policy is integral part general financial policy enterprise, which consists in optimizing the proportion between consumed and capitalized profit in order to maximize the market value of the enterprise.

1.1 Regulatory aspects of dividend policy regulation.

Dividends include any income received from sources outside the Russian Federation, related to dividends in accordance with the laws of foreign states (clause 1, article 43 of the Tax Code of the Russian Federation).

The regulatory document governing the procedure for paying dividends on shares of joint-stock companies is Federal Law No. 208-FZ of December 26, 1995 (as amended on December 22, 2014) "On Joint-Stock Companies" / see Appendix 1/.

In accordance with the above documents, the main terms and concepts used in the present work have the following content:

A joint-stock company established and operating in accordance with the charter, which determines the amount of the authorized capital, divided into a certain number of shares of the same nominal value. Shareholders are not liable for the obligations of the joint-stock company and bear the risk of losses associated with its activities, within the value of their shares, incl. and currently unpaid.

Authorized capital - the minimum amount of capital registered in the charter of a business entity. Equal to the par value of shares issued by the joint-stock company.

A share is a certain part, expressed as a sum of money, into which the authorized capital of a joint-stock company is subdivided. Registration - in the form of an entry on the accounts with the issuance of a certificate on the types, number and par value of shares owned by this owner, or in the form of a security for each individual share. Such shares are easier to sell and buy on the secondary stock market. According to the nature of their disposal, shares are divided into nominal and bearer. According to the legislation of the Russian Federation, only registered shares can be issued.

Preferred shares - give the right to:

receiving a guaranteed amount of dividends;
privileges in the distribution of assets of a joint-stock company;
possible convertibility into ordinary shares;

the possibility of their redemption by a joint-stock company. They give one or more named privileges, which are specified when they are issued.

Dividend - the value of the assets of a joint-stock company distributed among shareholders in proportion to the number of their shares on account of the net profit of the reporting period. Usually the amount of dividends does not exceed the amount of net profit for a given period.

1.2 Key Issues Addressed in the Process of Dividend Policy Implementation

The dividend policy of a joint-stock company includes a choice on the following issues:

Whether the corporation should pay all or part of its net income to shareholders in the current year, or invest it for future growth. This means choosing the ratio in net profit of the part that goes to the payment of dividends (d) and the part that is reinvested in the assets of the corporation. Considering the pricing model for corporate shares with a constant growth rate g (Gordon model)

pq = da 1 /(k s - g), (1. 1)

where da 1 is the expected dividend per share of the year t = 1,

k s is the expected return on the stock,

It can be seen that by choosing a high dividend yield (d/π) policy, the value of da 1 will increase, and this will lead, according to the formula, to an increase in the share price. However, the projected growth rate also affects the share price. If a corporation invests little in assets, then the growth opportunities will be small and the share price will fall. Thus, the choice of the value of the dividend yield has alternative results:

high current dividends and price growth in the short term or future dividend growth and price growth in the long term.

Under what conditions should the value of the dividend output be changed, should one stick to one dividend policy in the long run or can it be changed frequently.

In what form to pay shareholders the earned net profit - in cash in proportion to the shares held, in the form of additional shares or through share repurchases. Typically, the term dividend is used to refer to the cash payment that a shareholder receives as a result of the distribution of the net profit of a corporation in proportion to the number of shares. The broader concept of dividends is used for any direct payment by a corporation to its shareholders. Schemes of all payments with this approach are considered as part of the dividend policy.

What specific payment schemes to use. If cash payments are proportional to shareholding, then what should be the frequency of payments and their absolute value. If a share buyback is envisaged, what is the buyback price? Usually, the declared cash payment is expressed in the amount monetary units per share, but can be expressed as a percentage of the market price (dividend yield) or as a percentage of earnings (dividend yield). The dividend is declared excluding income tax.

How to build a policy of paying dividends on shares that are not fully paid (in proportion to the paid part or in full).

In world practice, all these issues relate to ordinary shares, since only on them are alternative forms of distribution of net profit possible. Preferred share payments are mandatory fixed payments, decisions on which are linked to the choice of capital structure. Russian law allows non-payment of dividends on preferred shares even if there is a net profit. Therefore, decisions on dividend payments by Russian enterprises affect both preferred and ordinary shares. The charter of a JSC for preferred shares may contain:

the amount of the dividend in monetary units;

percentage of the dividend to the par value of the preferred share;

the procedure for determining the amount of the dividend (calculation of profit after taxation or other methods);

order of payment of dividends on preferred shares of different types.

The value of the dividend yield is influenced by a large number of factors, the main of which are:

1) investment opportunities of the corporation;

2) shareholders' preferences between current and future income; the existing structure of the owners of this corporation (wealthy investors, institutional investors, former employees of this corporation, etc.);

3) the chosen capital structure;

4) the cost of capital of other sources, except for retained earnings.

1.3 Net effect of dividend policy

Since the main criterion for evaluating financial decisions is an increase in the market price of capital, it is important to understand how various factors influencing dividend policy will affect the assessment of capital as a result of the choice. There are different views on the resulting effect of the dividend policy. To understand the main arguments in defense of a particular position, consider two extreme (alternative) positions:

1) the choice of dividend policy affects the price of capital and the corporation / society should look for the optimal value of the dividend yield. Within this position, there is a view that:

a) an increase in dividend payments increases the price of capital (conservative or traditional theory);

b) in the interests of shareholders, a low dividend yield, a high dividend yield reduces the price of capital (radical theory) due to tax payments;

2) supporters of the alternative position argue that the dividend policy does not affect the price of capital.

Thus, the second view of the dividend policy states that there is no problem of optimizing the dividend yield and forms of payments.

Theory of independence of the price of capital from dividend policy

This theory was formulated in 1961 by Miller and Modi-liani (MM). MM argued that the choice of dividend policy does not affect the price of a corporation's stock or its cost of capital. The price of a firm's capital is affected only by the profit that is generated by the firm's assets. The proportion in dividing this profit into consumption and reinvestment does not play a role. The independence of the share price from the dividend policy has been rigorously proven under the following assumptions:

no taxes;

absence of transaction costs and costs of issuing shares;

independence of the firm's capital cost from financial leverage;

equal access to information about the growth prospects of the company from managers and owners of capital.

These assumptions led to the conclusion that the division of net income into dividends and retained (reinvested) earnings does not affect the cost of a firm's equity. Shareholders demand the same return on capital in the form of retained earnings as on outstanding shares. Since there is no cost of issuing shares, corporations do not care whether to issue new shares to raise capital or use retained earnings. Under the above assumptions, the cost of the existing share capital and the cost of capital of the new share issue are equal. Since the options for a corporation: a new issue of shares or reinvestment of profits are equivalent, the total cost of capital does not change from choice. In the ideal world, which is described by the assumptions of the theory by Miller and Modi-liani, the welfare of the investor does not depend on the dividend policy, since the investor can independently distribute the income received (consume or reinvest). If the dividend received exceeds the current needs of the investor, then the excess amount is reinvested with the same success as the corporation will do. If the current needs exceed the received dividend, then the investor can sell part of the shares.

Given the cost of issuing shares and information asymmetries, the cost of capital of a new share issue will be higher than the cost of existing equity capital. The cost of capital in the form of retained earnings also differs from the cost of equity capital, since postponing consumption for the future is more risky for the investor and, therefore, the return required by him rises. Various tax rates on dividend payments and on capital gains also change the value of the required pre-tax yield, which is reflected in the cost and price of capital. Thus, the high costs of additional share issuance and income taxation lead to a preference for a policy of low dividend yield (low dividend yield). However, a number of studies of statistical data on the relationship between dividend yield and cost of equity did not give a positive correlation, for example, the work of Black and Schols 1974.

Cost of capital in %

Share of reinvested profit (1 - ψ) %

Figure 1. Gordon Model

1.5 Theories of the impact of dividend policy on the price of capital

Taking into account the risk factor when making decisions on the distribution of profits. Criticism of the MM approach is based on the idealism of the assumptions on which the theoretical construction is built. The MM theory assumes that the reinvestment of profits by reducing dividend payments does not affect the cost of equity. However, in the works of Gordon and Lintner, it was proved that the cost of equity increases with a decrease in the dividend yield ψ, as the risk of shareholders increases.

The current receipt of dividends is less risky than the future growth of capital, and in order to compensate for the greater risk, shareholders require a higher return, which increases the cost of capital of the corporation s. An increase in the cost of capital has a downward effect on the price of capital.

In terms of expected return according to the Gordon model

k \u003d da 1 / p o + g, (1. 2)

where da 1 / Po is the dividend yield.

In an equilibrium situation, the risk-adjusted return required by investors is equal to the expected return, and the cost of capital k s is the required return for capital owners (k s = da 1 / p o + g). Gordon argues that the terms of the required return k s have different risks, and their change will affect the value of k s i so the dividend yield da 1 /Po is less risky than the term g:

1) the dividend is more predictable based on published information about the corporation than the increase in expected profitability from price growth;

2) even if the corporation reports on the available high-yield investment programs, these messages do not always inspire confidence. The investor understands the imperfection of the world and the possibility of juggling the facts on the part of the manager. The numbers in the report and in the investment program and the numbers in the dividend statement are valued differently;

3) the dividend is set by the manager, on whom the investor can influence, and the share prices are set on the market, and they big influence provided by market factors. The investor adheres to the principle “a bird in the hand is better than a crane in the sky”. If the dividend policy does not affect the value of k s , then according to the MM theory, any combination of dividend yield and growth rate will give a constant value.

Dividend yield

10 16 Growth rate g, %

Figure 2 Equivalence between dividend yield and capital gains

Dividend yield

Growth rate g, %

Figure 3. Disparity between dividend yield and capital gains

For example, a dividend yield might be 10% and a growth rate of 6%, and vice versa. With zero dividends, the required yield, according to the MM theory, will be determined only by the predicted growth rate of net profit (in this example, k s = 16%).

The work of Gordon and Lintner argues that a "dividend in hand" is less risky than a possible capital gain "in the sky", and investors demand a premium for a higher value of the term g. If at a particular moment the required return was 16%, then an increase in g will lead to an increase in kg, as shown in Fig. 3.

k s = da1/P 0 + g + kv, (1. 3)

where kv is the pie-in-the-sky risk premium, kv increases with g, i.e., with the increase in the share of g in the expected return.

For the investor, an increase in g will not be offset by a corresponding drop in the dividend yield. Conversely, a 1% reduction in the dividend yield is offset by investors with an increase in g of more than 1%.

Accounting for taxation of investor income. Looking at the expected return formula (k = Dividend Yield + Capital Gains Yield), it can be seen that if there is a difference in the withholding taxation of dividends and capital gains, the expected pre-tax and post-tax returns will be different for the investor. The investor will value the shares depending on the dividend policy (from the choice of low or high pre-tax dividend yield). The net income of the shareholder after receiving dividends is equal to

(da)(n)(l-Ts), (1. 5)

where n is the number of shares held by a given shareholder,

Ts is the marginal income tax rate, which, under progressive taxation, increases with income. When selling shares (with a policy of repurchase by the corporation of its shares or with a lack of current cash from the shareholder) net income will be

(P 1 - P 0) (n) (1 - Tk), (1. 4)

where P 1 is the sale price of the share,

n - number of sold shares,

Tk is the rate of tax on capital gains.

If capital gains received by an investor are taxed more than dividend income, then investors, in order to save on taxes, will prefer shares of a corporation that do not rise in price but promise high dividends per share. Conversely, if dividends are taxed at more than high rate than capital gains, investors will prefer stocks with low pre-tax dividend yields. In this case, the shares of a corporation that has a low pre-tax dividend yield and a high capital gain return will be valued higher in the market, that is, the price of these shares will be higher than the price of shares of a similar risk, but a different approach to the size of the dividend. If the corporation increases the dividend per share (i.e., increases the dividend yield), then to compensate for tax payments, the total pre-tax profitability will increase, and the share price will fall, that is, there will be a decrease in the market price of capital. The theory explaining the choice of dividend policy by the effect on the share price of differences in the taxation of the current income of the shareholder and the increase in his capital was proposed in 1979 by Litzenberger and Ramaswami. For that period in the United States, tax rates on current income and capital gains differed significantly. Since 1986, the tax on dividend income is 31%, on capital gains - 28%.

Tax rates on capital gains are lower than on dividends in many countries (for example, in the UK capital gains tax is 30%, while dividends are higher).

Accounting for information asymmetry. If investors expect dividends to increase by, say, 10% per year, and if dividends do increase by 10%, then the share price will react little to this fact. Another thing is if a growth of 10% was expected, and at the end of the year, managers announced a 35% increase in dividends. In this case, the share price will rise sharply. Practice shows that the price reacts not so much to the expected growth (fall) of dividends, but to unexpected changes in payments. The more surprises, the more price reacts. If dividends rise, but the growth rate is less than expected, then the share price will fall. Proponents of a conservative approach explain this fact by preferring dividend payments over capital gains. In this regard, it is concluded that the fundamental decisions in the dividend policy are related to the change in the dividend per share. Paying a dividend of $2 per share this year, when paid $1 in the past, is a more important decision than the value of the dividend yield. Miller and Modigliani explained the price response to declared dividends as investors following market signals, in this case a signal of future growth. Managers have more information than investors, and declare dividends based on the real state of affairs. If an increase in dividends is announced that is higher than expected by investors, then this is perceived as additional positive information (signal) about the improvement in the financial condition of the corporation. The corporation should take into account market expectations and build a dividend policy in such a way that the announcement of dividends does not lead to a decrease in market capitalization S

where Р is the market price of the share,

N is the number of shares in circulation.

The difference between the market capitalization before the announcement of dividends S 0 and after the announcement of S 1 must be less than the actual dividend valuation.

S1 + d > S o and d > S o — S 1 . (2.2)

Corporations should increase the payment of dividends until the growth rate of dividends exceeds the growth rate of the market price.

Taking into account the possibility of price increase by attracting shareholders with the same dividend policy preferences (according to the definition of MM, the "clientele effect" - clientele effect). Corporations strive to attract and retain those shareholders who are satisfied with the ongoing dividend policy. Shareholder preferences vary. There is a group of shareholders with low personal income who are interested in current payments (pensioners, charities), and there are high-yield shareholders who are not interested in current payments and who will reinvest dividends anyway. For these shareholders, dividend payments are undesirable:

1) due to taxation, since dividend payments will increase the total amount of income and transfer the shareholder to a higher tax category under progressive taxation;

2) due to the transaction costs of reinvesting the funds received (including the opportunity costs of wasting time searching for investment options).

If a corporation does not satisfy a shareholder with its dividend policy, then the shareholder will seek to find another corporation. As a result, investors who are interested in current income will prevail among the shareholders of a corporation with a high dividend yield and, conversely, high-yielding shareholders will prefer a corporation with a low dividend yield. Managers should take this fact into account and not change the dividend policy frequently, as this leads to investors' costs in transaction costs and taxes. Otherwise, the corporation will lose interest for all shareholders and its price shares will fall. On the other hand, if the manager sees a real circle of shareholders who are satisfied with the new dividend policy, and their demand for shares will exceed the supply of shares of dissatisfied shareholders, then the corporation may push dissatisfied shareholders to sell shares to those who support the new dividend policy. In this case, a change in the dividend policy will lead to an increase in the share price. An established market is shareholder-friendly, and if 30% of investors prefer low dividends and the remaining 70% prefer high dividends, then the market will respond to this need with approximately 30% of corporations pursuing a policy of low dividend yield and 70% of high. In the long term, the pursuit of market equilibrium will reduce the impact of dividend policy on the market price of a share.

The underdevelopment of the stock market and high transaction costs in Russia lead to the impossibility of realizing the clientele effect and, as a result, to a conflict of interests. Corporate management is forced to take into account the interests of shareholders - former employees (who became owners of capital as a result of privatization), and now pensioners with low income, and shareholders who are interested in long-term growth.

1.6 Types of dividend policy

The corporation chooses a specific type of dividend policy based on low or high dividend yield, stable or variable dividends per share.

Residual dividend policy. This policy is based on the primary consideration of the investment opportunities of the corporation, the limited external sources of financing or their high cost. The dividend yield is defined as follows:

1) determines the amount of money that a corporation can have without additional issue of shares. For example, if a net profit of 100 million rubles is received and the corporation does not pay dividends, then the maximum capital growth due to its own internal sources will be 100 million rubles. If the capital structure is held constant (for example, financial leverage D/V is 0.33), in order to maximize the market valuation of capital, then the corporation must raise debt capital (bond issue or Bank loan) in the amount of 50 million rubles (50/(100 + 50) = 0.33).

In this case, the possible amount of new capital will increase to 150 million rubles;

2) the possible amount of new capital is compared with investment opportunities by comparing the relative expected income (internal rate of return of the project) and the cost of capital. If the cash required for the implementation of profitable projects (for which the internal rate of return exceeds the cost of capital) exceeds the amount of new capital available, then no dividends are paid, all net profit is reinvested, and the lack of cash on the project is covered through an additional issue of shares or through a possible extension of the project timeline. If the cash required under the investment program is less than the amount of new capital available, then dividends are paid on a residual basis. The dividend payout (d) of year t is defined as the difference between the net profit of year t and the retained earnings needed to finance the investment program of that year. For example, if the expected net profit next year is 100 million rubles, the capital structure (which maximizes the market price) includes 50% of debt and 50% of equity, and the investment program for the next year is expected to spend 140 million rubles, then based on the target structure 70 million rubles of capital should be attracted in the form of borrowed capital and 70 million rubles of own capital (primarily retained earnings). The remaining net profit of 30 million rubles should be used to pay dividends. The dividend yield will be 30/100 = 30%.

Investors prefer a firm that reinvests profits rather than paying dividends if the return on the firm's assets (ROI) from the reinvestment exceeds the return that investors can earn on their own by investing at a similar level of risk. For example, if a firm can reinvest in a project that generates a 30% return, and the highest return on the average shareholder in the market for dividend payments is 20%, then the corporation's stock will rise in price.

Thus, even if an investor views future growth as riskier than earning a current dividend yield, high expected returns on new projects offset this risk.

Fixed dividend exit policy . Corporations can set an optimal dividend yield and stick to it. But since the amount of net profit varies from year to year, the monetary value of dividend payments will also be different. Fluctuations in dividends can cause share prices to fall. In its purest form, a fixed dividend exit policy does not maximize the price of a stock. In practice, in the first years of its existence, the corporation uses a residual dividend policy, then, taking into account the influence of various factors, sets the optimal value of the dividend yield, but does not blindly follow it, but adheres to it as a guideline. In specific years, the dividend yield may differ from the optimal one, but on average for the period under review, it is close to it.

The study of the dividend policy of American corporations in the mid-1950s allowed John Lintner to formulate the basic principles of a dividend policy based on the constancy of dividend output. [

1) managers of corporations / companies have a target (optimal) value of the dividend yield, taking into account which they build a policy of specific payments;

2) there is a time delay in the response of dividends to changes in profits. A 20% increase in earnings in year t does not automatically increase dividends by 20% for that year. The size of the dividend is influenced by general changes in earnings over the past years and growth prospects. Decreasing dividends is undesirable;

3) the most difficult decisions are decisions to change the dividend policy. Managers are reluctant to change their dividend policy for fear of not being able to follow it for a long period of time. There is a certain inertia in the dividend policy. Net profit growth always outstrips dividend growth. Only if managers are confident in the transition to a higher level of profit, they change the dividend policy.

Lintner proposed a simple model that reflects the findings and allows you to find the value of the dividend when fixing the dividend output. It is assumed that the corporation has an optimal value of the dividend yield ψ and strives not to change it. This means that the dividend per share da in the current year t is equal to a fixed share of the net income π in year t

d = (ψ)(π) and da = (ψ)(πа), (3. 1)

where πа is net earnings per share.

The dividend growth is equal to;

dat - (da t - 1) = (ψ/)(πat) - (da t - 1). (3.2)

If the dividend yield remains unchanged, the change in the dividend (growth) will occur when the profit changes. But the change in earnings may be temporary and not reflect a long-term growth trend. The corporation will increase dividends only when it is confident of being able to continue to support earnings growth. Dividend per share reduction is undesirable and hence under the Lintner model;

dat - dat - (da t - 1) = (ψ/)(πat) - (da t - 1) > 0. (3. 3)

Because of this, managers set dividend growth not in the same proportion as earnings growth;

da t - (da t - 1) = h ((ψ)(πat) - (da t - 1)), (3. 4)

where h is the dividend growth factor (in the range from 0 to 1).

The coefficient h shows the inertial effect of changing the dividend with a change in profit. For the current year, it is assumed that a change in profit by one unit will lead to a change in dividend by ψh units. The more conservative the corporation, the lower the h coefficient will be.

Expressing the current year's dividend da t , we get, according to the Lintner model, that this year's dividend depends partly on current net income and partly on last year's dividend:

da t = hψ(πcat) - (1 - h) da t - 1. (3. 5)

Expressing last year's dividend in a similar way (t - 1) and substituting in the expression for year t (as suggested by Braley), we get

da t = hψ (πat) + hψ(l - h)(πat - 1) + (1 - h) 2 da t - 2 (3.6)

and hence

da t = h ψ ((pa t) + (1 - h)(πat - 1) + (1 - h) 2 (πat - 2) + ...+ + (1 - h) n (πat - n) + ...). (3.7)

Thus, the current value of the dividend is influenced by the dynamics of profits of previous years. The degree of influence of different periods depends on the choice of the coefficient h. If h = 1, then the immediate and long-term dividend responses to changes in earnings are equal, and the real dividend yield is optimal. If the value of h is close to zero, then the corporation pays more attention to taking into account the long-term response. If the amount of profit is maintained at a new level (there is no drop in profit over the considered n years), then the dividend yield is optimal:

da, = hψ (πt)(l + (1 - h) + (1 - h) 2 + ... (1 - h) n > 0, for h > 0; (3. 8)

da, = ψ (πat), since (1 + (1 - h) + (1 - h) 2 + ... + ... (1 - h) n + ...) = 1/h. (3.9)

Policy of non-reducing dividends per share and residual approach to retained earnings. The essence of the policy is never to reduce the annual dividend per share. Politics can be expressed

1) in a constant or slightly increasing amount of dividend per share;

2) in stable payments of low dividends and percentage surcharges in good years.

A stable dividend policy means low investment risk and low required returns. Shares of corporations that adhere to such a policy are highly liquid, as they have a constant demand for them from financial companies(insurance companies, pension funds).

Many Russian corporations adhere to the policy of stable dividends. For example, Vladimir Electromechanical Plant, since its transformation into an open joint-stock company, has been paying an annual dividend per share in the amount of 5,000 rubles (the par value of a share is 1,000). Dividend yield is no more than 30% (fluctuates over the years). retained earnings reinvested.

Share Dividend Policy . This policy can be carried out both in an unfavorable financial condition, and with a temporary lack of funds for the implementation of investment programs with overall financial stability. For example, in the UK, dividends paid in the form of securities became popular in 1973 after the decision to exempt them from taxes. When in 1975 tax system changed (share dividends were subject to the same withholding tax as cash dividends), the tax benefit declined.

If investment opportunities and the limitations of other sources of funding dictate the reinvestment of profits, but in previous years dividends were paid and some shareholders rely on current income, then in order not to deceive the expectations of shareholders, management may offer them dividends in shares. The total number of shares outstanding will be increased.

The payment of dividends by shares is dictated not by the lack of funds at the moment, but either by the impossibility of their concentration by the time the dividends are paid, or by alternative options for using net profit. When deciding whether to declare dividends, management should clearly assess the possibilities of changing the structure of assets and finding the necessary cash. In accordance with Russian legislation the payment of declared dividends is obligatory, and if the joint-stock company does not have free funds for payment, then it can be declared insolvent through the court and liquidated.

For management, paying a dividend in shares makes sense, as it does not dilute the number of shareholders, as with public offering additional shares. Not all shareholders will sell additional shares received and the offer of shares on the market will be small. In reality, the corporation will receive capital worth the same as retained earnings, but in the form of equity capital. The funds increased in comparison with the option of cash dividends can be directed for current and investment activities.

Another reason for using a non-cash dividend is for the purpose of reinvesting profits with the desire not to disclose the investment. For example, if the goal of a takeover is set without the announcement of another firm, then neither the issue of shares nor the attraction of borrowed funds are suitable for this purpose. In this case, the manager believes that retained earnings are the only source of capital increase and refuses to pay dividends in cash with the hope of increasing earnings, share price and cash dividends in the future. The payment of a dividend in shares is an attempt to support shareholders until better times. If the projected growth is realistically possible and exceeds the share dividend percentage, then the share price may increase.

Another goal may be pursued by management, when deciding to pay a dividend in shares, is to increase the liquidity of shares through a decrease in the market price instead of a split. The payment of dividends by shares has here the same result as a share split. However, splitting is usually used as a one-time procedure after a sharp price jump. The payment of dividends by shares can be carried out as a medium-term dividend policy, according to which the dividend percentage is set at the level of the annual growth rate of profit and share price. For example, if an annual profit growth rate of 15% is expected and a similar increase in the price of a share, which after some time will make it poorly liquid, then setting an annual dividend of 15% will fix the price of the share.

Shareholders are forced to agree with management's proposal for the following reasons:

1) information about non-payment of a dividend will be considered by the market as a negative signal and the share price may fall even more;

2) shareholders may hope that the use of profits, the preservation of the image of the corporation and other factors will act to increase the price and, as a result of the payment of dividends, the price will not fall or even increase;

3) shareholders who do not prefer cash dividend payments due to taxation may not be very disappointed. In a number of countries (for example, the USA), dividends paid by shares are also subject to income tax on the declared amount of dividends.

Share buyback policy. The buyback of own shares means the use of net income for payments to capital owners and, therefore, can be considered as an alternative dividend policy to cash dividend payments. Many corporations have active buyback companies (eg IBM, General Electric). The repurchase of shares as a regular dividend policy can be carried out in the following ways:

1) purchase on the stock market, if the shares are listed on the stock exchange, or through brokerage houses, purchase from holders;

2) buying at a fixed price in the announced period of time (tender). If the offer of shares exceeds the number planned for redemption, then the shareholders get the opportunity to sell in proportion to the existing package;

3) auction buying. Shareholders who offer the lowest price per share at the auction have advantages in the sale. This option is most preferred by the remaining shareholders;

4) direct redemption of a block of shares from one major shareholder at the agreed price. If the price is not too high, then the remaining shareholders do not lose capital.

Automatic dividend reinvestment policy. Many corporations offer their shareholders an automatic dividend reinvestment plans ADR or DRIP. The program is an option to reinvest some or all of the amount due as a cash dividend. The shareholder has a choice between receiving a dividend in cash and buying an additional number of shares for the specified amount. In some cases, shareholders have the opportunity to purchase new shares at a discount, that is, below the market price, which increases the popularity of these programs. By tax legislation In many countries, shareholders pay income tax on reinvested amounts, as well as on amounts received in the form of cash dividends.

The policy of low dividend yield and indirectlats to individual shareholders . This policy is carried out by many Russian corporations and has the main goal of maintaining control. Since when declaring dividends, all shares of the same type (ordinary, Various types preferred) have the same rights and must have the same dividend yield, then the management of the corporation, in order to maintain the current composition of shareholders and prevent the transition controlling stake to an outside investor pursues a policy of indirect high payments from net profit to certain groups of shareholders, in most cases unconsolidated. The policy is based on ascertaining the fact of buying shares in Russia by only two groups of persons:

institutional investors;

investors who want to have control and management.

There is no individual investor. Therefore, the appearance of an offer of shares on the market is considered by management as a signal of the danger of a takeover or loss of control. This policy can be carried out under the justification of the need financial assistance former employees and now shareholders. Such payments provide a low dividend yield and low liquidity of the shares. For privatized enterprises or those where the majority of shareholders are employees, understating net income and no dividends is the preferred policy. The growth of current income is achieved by payments in the form of insurance proceeds, interest on bank deposits, in-kind payments by the company's products. This policy minimizes tax payments and does not lower the valuation of capital. On the other hand, the shareholder is tied to this corporation and, when changing jobs, loses not only current income, but also the opportunity to receive capital gains.

Accounting for the accrual and payment of dividends at the enterprise

2.1 Dividends paid in cash

Incomes to shareholders - participants in the capital of a business company - are paid in the form of dividends from the profit received as a result of the economic and financial activities of the company. Part of the profit of the reporting year received by the company after deducting taxes on profits, payments on bonded loans, replenishment of reserve capital, used (or intended for use) profit on investments and acquisition of other assets can be directed to dividends. Joint-stock and other companies cannot distribute profits among shareholders, direct them to other purposes, except for paying taxes and other obligatory payments until the authorized capital is paid in full, as well as in cases where the net value of the property of a joint-stock company is less than its authorized and reserve capital or becomes less this amount as a result of the payment of dividends.

A dividend is a part of the profit of a joint-stock company distributed among shareholders in proportion to the number of shares: the dividend is declared as a percentage of the par value of a share or in rubles per share. The dividend is declared without taking into account taxes on it, but the joint-stock company is obliged by law to withhold taxes on dividends and transfer them to budget revenue. Dividends are paid net of withheld taxes. Under Russian law, dividends legal entities taxed on flat rate-15% to the declared amount. Dividends of natural persons are subject to differentiation at income tax rates from natural persons.

Dividends can be paid quarterly, once every six months or once a year. Dividends paid during the year are interim. The final amount of the dividend is determined based on the results of economic activity for the reporting year. The dividend is declared by the meeting of shareholders at the suggestion of the board of directors of the joint stock company and cannot exceed the amount recommended by the directors.

The amount of the dividend on preferred shares is set at their issue. It can be changed by the meeting of shareholders, in which holders of preferred shares take part with the right to vote. In companies, the authorized capital of which is divided into shares of participants, the amount of dividends is established in proportion to the share of each participant. Dividends may be paid either in cash or in kind if the shareholders agree. By decision of the meeting of shareholders, dividends may be paid in shares of the next issue. In this case, dividends are not taxed, and the company gets the opportunity to guarantee the sale of issued shares.

Dividends declared for payment are accrued on the credit of the account "Settlements with shareholders" to the debit of the account "Retained earnings" in proportion to the number of shares of each holder. Before the accrual of dividends, the registration of holders of bearer shares is announced, according to which they determine to whom and what amount to accrue and pay. Dividends are not accrued or paid on shares not paid in deadlines, and on shares redeemed by the company.

Dividend tax withheld in favor of the budget is reflected in the accounting entry:

credit of the account "Settlements with the budget".

If shareholders work in a joint-stock company as its personnel, in order to withhold income tax from the amount of aggregate income, accrual and payment of dividends to such holders are carried out on the account, although dividends are not remuneration of personnel in any form. This is the return on capital invested in a joint-stock company.

No interest is accrued on the unpaid dividend. Remaining unpaid dividend after three years limitation period included in the income of the joint-stock company by accounting entry:

debit of the account "Settlements with shareholders",

credit to the profit and loss account.

Consider an example. The net profit of a joint-stock company (corporation) for the reporting year amounted to 111 million rubles, of which it was directed to capital investments 71.5 million rubles Need to do mandatory contributions in reserve capital - 5.5 million rubles. What amount can be offered for payment of a dividend, how much interest to pay for each ordinary share, if the joint-stock company issued 50,000 ordinary and 10,000 preferred shares with a par value of 3 thousand rubles each? Guaranteed dividends per preferred share - 0.6 thousand rubles. 1500 preferred shares were redeemed by the joint-stock company.

(thousand roubles.)

Net profit for the reporting year 111,000

Capitalized in the company's assets 71,500

Sent to reserve capital 5500

Proposed to pay dividends 34,000

Of which preferred shares 5100

[(10,000-1500) x 0.6]

Payable on ordinary shares 28,900

Par value of ordinary shares 150,000

Payout percentage per ordinary share — 19%

[(28 900:150 000) = 0,1926]

Suppose a joint-stock company announced the payment of dividends for each preferred share in the amount of 600 rubles, and for each ordinary share - in the amount of 19% of the nominal value. 50,000 ordinary and 10,000 preferred shares were issued. The nominal value of one share is 3,000 rubles. On the day of the announcement of dividends, the company's balance sheet included 1,500 redeemed preferred shares. Among ordinary shares there are 10,000 nominal shares, the holders of which are natural persons from the personnel of the enterprise. When registering shareholders, information was received on the holders of 38,740 ordinary shares, of which individuals are holders of 15,740 shares. All preference shares are owned by employees of the joint-stock company.

Let's do the necessary calculations.

Dividends on preferred shares owned by employees of the company:

(10,000 - 1500) x 0.6 \u003d 8500 x 0.6 thousand rubles. = 5100 thousand rubles.

Income tax on the amount of dividends at a rate of 13%:

(5100 x 0.13) = 663 thousand rubles.

Dividends on ordinary shares owned by the staff of the joint-stock company:

(10,000 x 3 x 0.19) = 5,700 thousand rubles.

Personal income tax withheld from the income of individuals:

5700 x 0.13 \u003d 741 thousand rubles.

Dividends on ordinary shares registered as holders of natural persons:

(15,740 x 3 x 0.19) = 8971.8 thousand rubles.

Personal income tax withheld at the rate of 13%:

(8971.8 x 0.13) = 1166.3 thousand rubles.

Dividends on ordinary shares registered as holders of legal entities:

(38,740 - 15,740) x 3 x 0.19 = = 13,110 thousand rubles.

Withheld tax on income from dividends of legal entities at a rate of 13%:

(13110 x 0.13) = 1704.3 thousand rubles.

Cash dividends paid to the personnel of the enterprise:

(5100 -1020) + (5700 -904) = 8876 thousand rubles.

Dividends paid on bank accounts legal entities and individuals:

(8971.8 - 1166.3) + (13110-704.3) = 20211.2 thousand rubles.

The debt to the budget for taxes on dividends was listed.

Let's write down the accounting entries that need to be reflected in the accounting accounts:

Operation	Amount, thousand rubles
Operation	Amount, thousand rubles
		"Retained profit"	"Settlements with personnel for wages"
		"Settlements with personnel for wages"	"Budget Settlements"
		"Retained profit"	"Settlements with shareholders"
		"Settlements with shareholders"	"Budget Settlements"
		"Settlements with personnel for wages"
		"Settlements with shareholders"	"Checking account"
		"Budget Settlements"

2.2 Accounting for dividend paid by shares

Dividend reinvestment in equity capital is encouraged by Russian law. The amounts of the company's profit reinvested in this way are exempt from taxation. The dividend amount newly invested in the share capital of the company is also not taxed. When paying dividends in shares, the value of the company's property does not change, it is not obliged to pay money on account of dividends. Only the capital structure of the company changes, but the proportional ownership of each individual shareholder remains unchanged.

When deciding to pay dividends with its own shares, the company gets the opportunity to:

increase the share of working capital paid by shareholders by transferring funds from the retained earnings account to the authorized and additional capital accounts;

save the working capital of the company, since it does not need to be spent on the payment of dividends;

to influence the decrease in the exchange rate of the company's shares, if it is beneficial to him.

When dividends are paid by shares, the question arises at what price to take into account the issued shares - at nominal or market. Specialists believe that if a small part of the issued shares is distributed among shareholders, within 20-25% of ordinary shares, they should be valued at market prices. When paying dividends by a large block of shares, it is advisable to use the nominal value of the shares.

Let's consider one of the possible situations. The joint-stock company announced that 15% of 100,000 shares with a nominal value of 5 thousand rubles. per share will be distributed in lieu of accrued dividends. The market price of one share on the day of the announcement of dividends was 9.5 thousand rubles. There are two solutions.

(thousand roubles.)

Capital before distribution	First option	Second option
Authorized capital (85,000 x 5)
Extra capital
Reserve capital
retained earnings
General share capital
1. Dividend paid by shares: 15,000 shares at a par value of 5,000 rubles.
2. Premium per share ((9.5 - 5) \u003d 4.5) - 15,000 shares at 4,500 rubles.
Capital after distribution
Authorized capital (100,000 x 5)
Extra capital
Reserve capital
retained earnings
General share capital

Note that in both options, the number of shares is 100,000, and the amount of the authorized capital is 500,000 thousand rubles. There are changes in the additional capital, since in the second variant the premium on distributed shares is credited to it. Accordingly, the amount of retained earnings also changed.

The operation for the payment of dividends in shares is made out by the following accounting entries (second option):

dividends were accrued to shareholders, in exchange for which they will be issued ordinary shares of the company:

debit of the account "Retained earnings",

credit of the account "Settlements with shareholders" - in the amount of 142,500 thousand rubles;

15,000 shares with a nominal value of 75,000 thousand rubles were issued to shareholders as dividends. with a premium of 67,500 thousand rubles:

debit of the account "Settlements with shareholders" - in the amount of 142,500 thousand rubles,

credit of accounts "Authorized capital" - in the amount of 75,000 thousand rubles, "Additional capital" - in the amount of 67,500 thousand rubles.

Many experts believe that this operation should not be carried out as the amount of the declared dividend, since the company does not bear any property obligations to shareholders. The transaction consists only in the distribution of additional shares, so one accounting entry is sufficient:

debit of the account "Retained earnings" - in the amount of 142,500 thousand rubles,

credit of accounts "Authorized capital" - in the amount of 75,000 thousand rubles, "Additional capital" - in the amount of 67,500 thousand rubles.

By analogy, it is possible to reflect operations to increase the par value of one share.

In cases stipulated by the legislation of the Russian Federation, it is allowed to increase the authorized capital with an increase in the unit value of shares or a proportional increase in their number for all holders by reducing additional capital. total amount share capital does not change, since there is no change in the value of the property of the company. The change is reflected in the accounting entry:

debit of the account "Additional capital",

credit of the account "Authorized capital".

2.3 Accounting for share splits

In the conditions of the financial market, wishing to attract small investors and reduce the market value of shares, a joint-stock company can split shares, increasing their number and proportionally reducing the nominal value of a share. The operation can be carried out without changing the total amount of the authorized capital. But the number of issued shares is also determined in the charter of the joint-stock company, as well as the amount of the authorized capital. Therefore, it is necessary to re-register the number of issued shares in the charter, and then carry out the named operation.

With a constant value of the authorized capital, an increase in the number of shares does not cause accounting entries, since the amount - the balance of the authorized capital account does not change. For example, a meeting of shareholders or a board of directors decided to set the par value of one share at 10,000 rubles. Previously, the nominal value of one share was 50 thousand rubles. This means that the number of shares of such a company will increase by 5 times. The holder of 200 old shares will exchange them for 1000 new ones, but the nominal value of his shares will remain the same: (200 x 50) = (1000 x 10) = 10 thousand rubles. The fact of splitting shares will be reflected in the analytical accounting of shares, in the change in the market value (exchange rate) of shares.

Impact of dividend policy on performance

corporations

Based on the above theoretical aspects of the problem presented by us and the methods of its practical solutions, we can conclude that in the process of implementing the dividend policy, various situations and options are analyzed and predicted, and the company's capabilities in the market are assessed. Qualified options for solving such problems facing the enterprise as the distribution of the assets of the enterprise in order to maximize their effective use, allow us to hope for a stable financial position of the enterprise in the future.

The dividend policy considers in the process of its formation and implementation such issues as shareholders' preferences between current and future income, the influence of various factors on the assessment of the capital of a corporation (joint stock company), determines the optimal value of the dividend yield and schemes, forms and methods of its payment.

The dividend policy provides for settlements on payments to the budget and settlements with shareholders of the corporation, thereby creating certain guarantees for its obligations. In addition, in the course of implementing the dividend policy at the enterprise, the available reserves are identified, the mobilization of which will provide additional income. The selection of optimal management options allows you to reduce risks and avoid losses, to conduct a rational tax policy. Thus, the dividend policy is one of the important tools in enterprise management, and its implementation is an opportunity for successful entrepreneurship, respect for the interests of owners, shareholders and all employees.

3.1. Calculation and payment of dividends of VTB Group

The annual but general meeting of shareholders on June 08, 2012 decided to pay dividends for 2011 in the amount of 0.00088 rubles. per ordinary registered share. dividends were paid on 18.07.2012, which was less than 60 days from the date of the decision by the General Meeting of Shareholders specified for payment by the Charter of the Bank. Dividends were paid in cash in rubles by non-cash transfers to the shareholders' bank accounts or, depending on the form specified by the shareholder in the questionnaire, in cash at the Bank's branch in St. Petersburg.

Allocations used to pay dividends amounted to 9,205,276,376.86 rubles. The total amount of funds paid out amounted to 9.2 billion rubles.

Example

VTB Group received a net profit for the reporting year in the amount of 600,000 rubles. The authorized capital of the VTB Group consists of 1,000 ordinary and 50 preferred shares. The nominal value of each share is 10,000 rubles.

According to the charter of the VTB Group, dividends on preferred shares are paid in the amount of 20% of their nominal value.

The shares are distributed among the shareholders as follows:

K.B. Yakovlev - 500 ordinary shares;
A.N. Somov - 30 preference shares and 200 ordinary shares;
A.A. Lomakin - 20 preferred shares;
S.S. Petrov - 300 ordinary shares.

Dividends per preference share are calculated in the amount of:

10000 rub. × 20% = 2000 rub.

The total amount of dividends on preferred shares will be:

2000 rub. × 50 pcs. = 100,000 rubles.

Dividends per ordinary share are calculated in the amount of:

(600,000 rubles - 10,000 rubles) : 1000 pcs. = 500 rubles.

Shareholders are entitled to receive dividends in the amount of:

K.B. Yakovlev - 250,000 rubles. (500 rubles × 500 pieces);
A.N. Somov - 160,000 rubles. (2000 rubles × 30 pcs. + 50 rubles × 200 pcs.);
A.A. Lomakin - 40,000 rubles. (2000 rubles × 20 pieces);
S.S. Petrov - 150,000 rubles. (500 rubles × 300 pcs.).

As in the previous year, the Shareholder Relations Service organized the distribution of letters about accrued and unpaid dividends on the Bank's shares for 2008, which are planned to be written off to the Bank's income. As a result of sending notifications in the period from 01.04.2012 to 28.08.2012, dividends were paid to 75 shareholders. The Shareholder Relations Service within the framework of the dividend payment, together with the Finance Department and the Central Accounting Department, did the following:

prepared and determined recommendations on the amount of dividends;
calculated dividends;
benefits are taken into account;
agreed calculation;
the income received from participation is taken into account for the purpose of reducing the tax base;
structured database for the tax authority;
dividends paid;
consulted on the payment of dividends.

CONCLUSION

In the presented course work, the theoretical aspects of the dividend policy of joint-stock companies are considered, aspects of two theories are given: the dependence and independence of the price of capital on the dividend policy pursued by the company (corporation). Issues addressed in the process of implementing the dividend policy are touched upon, such as the consistency of the ongoing dividend policy, the schemes used for paying dividend output, determining its optimal value depending on the strategic goals facing the corporation. The influence of various factors on the assessment of the corporation's capital is considered.

The paper presents the existing six types of dividend policy: the residual policy, the policy of a fixed dividend yield, the policy of paying dividends in shares and others, their brief characteristics are given.

In the practical part of the work, examples of calculating the amount proposed for payment of dividends are considered, taking into account the current economic situation at the moment, and a methodology for accounting for ongoing operations depending on the form of payment of dividends is given. Considered such a way to attract small investors, as a split of shares (change in their nominal value with a constant value of the authorized capital). On a practical example, one of the largest corporations in Russia, the VTB group, is considered. Calculations and payments of dividends for 2012 were made.

In the scientific community, there are still questions about how important the dividend policy is in the activities of a joint-stock company, whether dividends should be paid, whether the payment of dividends affects its market value and, consequently, the welfare of shareholders. Thus, one group of foreign scientists (M. Miller, F. Modigliani and others) believes that the decision on the amount of dividends paid does not affect the market price of the company's shares and, consequently, the welfare of its shareholders, so it is not necessary to pay dividends. The second group of foreign scientists (M. Gordon, J. Lintner and others) argues that shareholders are interested in paying high dividends, which, in turn, contributes to an increase in demand for shares, an increase in their market value and, ultimately, an increase in wealth shareholders. The third group of foreign scientists (R. Litzenberger, K. Ramaswami and others) is sure that dividends should be paid depending on the level of taxation and with higher taxation of dividends compared to taxation of income from capital gains, an enterprise should minimize dividends, and direct its net profit into promising investment projects. Only under these conditions will the market value of the enterprise and the welfare of shareholders grow.

A variety of theoretical approaches to the formation of dividend policy consider this process from the standpoint of the impact on the market value of the enterprise and the welfare of shareholders. They determine the importance of its formation in general, but do not give a clear answer, what is the optimal dividend policy for Russian joint-stock companies, which emphasizes the relevance of the research topic.

In conclusion of the research, it can be concluded that the company's dividend policy provides ample opportunities for managing the company's assets and, with proper use of the presented theoretical calculations and practical calculation methods, will optimize the company's activities not only in the current, but also in the long term.

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APPS

Annex 1

The regulation was developed in accordance

Federal Law No. 208-FZ of December 26, 1995 (as amended on December 22, 2014) "On Joint Stock Companies" (December 26, 1995), and other legal acts of the Russian Federation.

PROCEDURE FOR PAYING DIVIDENDS ON THE COMPANY'S SHARES

A dividend is a part of the Company's net profit subject to

distribution among shareholders attributable to one ordinary or

preferred share.

Net income allocated for the payment of dividends,

distributed among the shareholders in proportion to the number and type

shares they own.

The Company has the right to quarterly, once every six months or once a year

make a decision (announce) on the payment of dividends on placed

shares, unless otherwise provided by the Federal Law "On Joint Stock

societies" and the Charter of the Society.

The company is obliged to pay the declared for each category

(type) of shares dividends. Dividends are paid in cash and

in cases provided for by the Charter of the Company - other property.

Dividends are paid out of the Company's net profit for the current

year. Dividends on certain types of preferred shares may

be paid from funds specially designated for this

Society.

Decision on the payment of interim (quarterly, semi-annual)

dividends, the amount of the dividend and the form of its payment on the shares of each

Council) Society. Decision on the payment of annual dividends, the amount

dividend and the form of its payment on shares of each category (type)

adopted by the General Meeting of Shareholders on the recommendation of the Council

Directors (Supervisory Board) of the Company. APR

(Supervisory Board) of the Company and less than the interim

dividends. The General Meeting of Shareholders has the right to decide on

non-payment of dividends on shares of certain categories (types), as well as

on the payment of partial dividends on preferred shares,

the amount of the dividend for which is determined in the Charter.

The date of payment of annual dividends is determined by the Charter of the Company

or decision General Assembly shareholders on the payment of annual dividends.

The date of payment of interim dividends is determined by the decision of the Board

Directors (Supervisory Board) of the Company on payment of interim

dividends, but cannot be earlier than 30 days from the date of acceptance of such

For each dividend payment, the Board of Directors (supervisory

Council) of the Company draws up a list of persons entitled to receive

dividend. To the list of persons eligible for intermediate

dividends must include shareholders and nominees

shares included in the register of shareholders of the Company no later than 10

days before the date of adoption by the Board of Directors (Supervisory Board)

Company decisions on the payment of dividends, and in the list of persons entitled

to receive annual dividends, - shareholders and nominee holders

shares entered in the register of shareholders of the Company on the date of compilation

list of persons entitled to participate in the annual General Meeting

shareholders.

RESTRICTIONS ON THE PAYMENT OF DIVIDENDS

share dividends:

until full payment of the entire authorized capital of the Company; before redemption

all shares to be redeemed in accordance with

"Regulations on the procedure for the acquisition and redemption by the company of placed

if at the time of payment of dividends it meets the criteria

insolvency (bankruptcy) in accordance with legal acts

of the Russian Federation on the insolvency (bankruptcy) of enterprises

or the specified signs will appear in the Company as a result of payment

dividends;

if the value of the net assets of the Company is less than its authorized

capital, and reserve fund, and excess over the nominal value

the liquidation value of the placed

preferred shares or will become less than their size as a result of

dividend payments.

The Company is not entitled to make a decision on payment (announcement)

dividends on ordinary shares and preferred shares, the amount

dividend for which is not defined, if the decision on payment is not made

in the full amount of dividends on all types of preferred shares,

the amount of the dividend for which is determined by the Charter of the Company.

The Company is not entitled to make a decision on payment (announcement)

dividends on preferred shares certain type, according to which

the amount of the dividend is determined by the Articles of Association, unless a decision is made on the full

payment of dividends on all types of preferred shares,

giving precedence in the order in which dividends are received over

preference shares of this type.

PROCEDURE FOR PAYING INTEREST ON THE COMPANY'S BONDS

Interest on bonds is paid to bondholders for

account of the net profit of the Company, and in case of its insufficiency at the expense of

reserve fund formed by the Company.

If financial resources, which has

The company does not allow to pay dividends on shares and

interest on bonds, the priority right to receive

bond holders.

Interest on bonds is calculated in relation to the face value

bonds regardless of their market value.

Interest on bonds can be paid quarterly,

half year or at the end of the year.

If the Company is declared insolvent, its property

can be used to pay interest on bonds.

Bondholders are entitled to demand payment of the agreed

the amount of interest on bonds within a specified period. In case of refusal to

payment, the Company may be declared insolvent and subject to

liquidation.

Bonds are entitled to receive interest on bonds,

acquired no later than 30 days before their payment, unless otherwise

subject to the terms of the bond issue.

Interest on issues issued in the order of initial placement

bonds in the first year are paid in proportion to the time

the fact that the bond is in circulation, unless otherwise specified

release conditions.

Interest on bonds may be paid in securities

goods or other property goods, if provided

the terms of the loan.

Bond interest is paid directly

Company, agent bank or financial intermediary acting on

on behalf of the client by check, money order, postal or

telegraphic transfer.

bonds or paying their agent banks or other financial

intermediaries, act as agents of the state in collecting taxes and

pay interest to bondholders, minus applicable

A company that independently pays interest on

bonds, or an authorized agent must make a note about

payment of interest to the bondholder by redemption or cutting

bond coupon.

Bond interest not claimed by the owner or his

legal successor or heir in the established for

the statute of limitations expires, are transferred to income

republican budget of the Russian Federation.

The payment of interest on bonds by the Company is reflected in the entry

on the debit of account 81 "Use of profit" and credit of account 75

"Settlements with participants".

Appendix 2

Calculation of the net assets of the organization in the balance sheet estimate

Index	Line code	At the beginning of the period
1. Asset value
1.1 Non-current assets
1.2 Stocks
1.3 Accounts receivable
1.4 Cash and short-term investments
1.5 Other current assets
1.6 Total asset value
2. Cost of liabilities
2.1 Targeted funding and receipts
2.2 Long-term liabilities
2.3 Short term borrowed funds and accounts payable
2.4 Dividend settlement
2.5 Reserves for future expenses and payments
2.6 Other current liabilities
2.7 Total value of liabilities
3. Net worth