Income Investors Pay Attention: These 3 Companies Have Paid An Annual Dividend For 10 Years

Income investors tend to seek companies that can pay sustainable dividends. Unfortunately, no one can accurately predict the future, which means that there’s no way one can accurately foresee whether a company has the ability to consistently pay a dividend in the years ahead.

But, we can still gain some insight about the future by studying the past. If a company has paid a dividend consistently for many years in the past, there could be something special about its business that could protect its profits and cash flows in the future, and thus, its ability to pay a dividend.

In here, I want to share the identity of three companies that have been paying an annual dividend over the last 10 years.

In no order of merit, the first on my list is Thai Beverage Public Company Limited (SGX: Y92).

As a quick introduction, Thai Beverage is a food and beverage company that produces and distributes spirits, beer, snacks, and non-alcoholic beverages.

From 2006 to 2016, Thai Beverage has either increased or maintained its annual dividend. In that period, the company’s dividend has jumped nearly four-fold from THB 0.22 per share to THB 0.80 per share. At its current stock price of S$0.97, the company has a yield of 2.5%, according to S&P Global Market Intelligence.

Next up is Jardine Cycle & Carriage Ltd (SGX: C07), a bona-fide conglomerate with business segments such as: automotive; financial services; heavy equipment and mining; agribusiness; information technology; and infrastructure and logistics; property; and more.

Jardine Cycle & Carriage’s dividend has also grown pretty impressively over the past decade. Starting from US$0.20 per share in 2006, according to data from S&P Global Market Intelligence, the conglomerate’s dividend has since increased to US$0.74 per share in 2016. The snag here is that Jardine Cycle & Carriage’s dividend had peaked at US$1.23 per share in 2011 and 2012.

Right now, Jardine Cycle & Carriage has a stock price of S$39.65 and a yield of 2.5%.

Lastly, there’s SATS Ltd (SGX: S58). SATS is a company with two business segments, namely, Food Solutions and Gateway Services. The former covers services such as airline catering, food distribution, and industrial catering. The latter is involved in ground handling services of passengers, flights, ferries, and cargo.

The company has a long track record with paying a dividend that extends back to its fiscal year ended 31 March 2000 (FY 1999/2000). From FY 2006/2007 to FY 2016/2017, SATS has seen its ordinary dividend grow by 70% in total, from S$0.10 per share to S$0.17. The company has a yield of 3.6% at the current stock price of S$4.64.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned. The Motley Fool Singapore has a recommendation for SATS.