Total
0
Shares
flexigroup (ASX:FLX) - CEO, Rebecca James - The Market Herald
CEO, Rebecca James
Sourced: The CEO Magazine
  • Australian fintech flexigroup (FXL) has deferred its interim dividend amid the volatile global economic climate
  • The company was due to pay a 3.85 cents per share dividend on April 14, but has now delayed the payment until mid-October
  • FXL has chosen to defer its dividend payment and rely on cost-cutting and existing funding facilities to see it through the troubled times
  • The company had previously withdrawn earnings guidance for the remainder of the financial year, and continues to monitor the pandemic fallout closely
  • flexigroup is up 6.25 per cent to 85 cents a share

Australian fintech flexigroup (FXL) has deferred its interim dividend amid the volatile global economic climate.

The company was due to pay a 3.85 cents per share dividend on April 14, but has now delayed the payment until mid-October. The record date for the interim dividend remains unchanged.

A number of companies have undertaken capital raising and operational downgrades amid the COVID-19 crisis. FXL has instead chosen to defer its dividend payment and rely on cost-cutting and existing funding facilities to see it through the troubled times.

The company says it has over $550 million in undrawn committed wholesale funding facilities provided by a range of major domestic and international banks, and over $100 million combined in undrawn corporate debt facilities and unrestricted cash. This gives flexigroup considerable breathing room to continue its operations.

The company had previously withdrawn its earnings guidance for the remainder of the 2020 financial year due to the virus crisis. While the global economic downturn is creating tough conditions for the financial sector, the company's board says it will continue to monitor the impact of COVID-19 closely, and believes the measures it's taking to mitigate the pandemic impacts to be prudent at this time.

flexigroup is up 6.25 per cent to 85 cents a share as at 1:30pm AEST.


Subscribe


FXL by the numbers
More From The Market Herald
Sezzle (ASX:SZL) - Founders, Charlie Youakim (left) and Paul Paradis (right) - The Market Herald

" Sezzle (ASX:SZL) reports record numbers for June quarter

Instalment payment platform Sezzle (SZL) has reported continued growth in the 12 months to the end of June, despite COVID-19 headwinds.
Pinnacle Investment Management Group (SX:PNI) - Managing Director, Ian Macoun - The Market Herald

" Pinnacle Investment Management Group (ASX:PNI) reports affiliate performance fees

Five Pinnacle Investment Management Group’s (PNI) affiliates have earned approximately $25.8 million in performance fees for the year ending June 30.
SelfWealth (ASX:SWF) - Managing Director, Rob Edgley - The Market Herald

" SelfWealth (ASX:SWF) welcomes influx of active traders in June quarter

SelfWealth (SWF) has welcomed an influx of new clients on its retail trading platform for the June 2020 quarter.
Nufarm Finance (ASX:NFN) - CEO, Greg Hunt - The Market Herald

" Nufarm Finance (ASX:NFN) to close Melbourne manufacturing plant

Nufarm Finance (NFN) has announced it will be closing its Raymond road manufacturing plant in Laverton, the site of its insecticide and fungicide