Evening HopalongPetrovski,Hi Yak52.
Just out of curiosity and without holding you to it, what would you estimate the annual dividend amount per share of BRN would be when it reaches that $5 mark? And would you consider that when we are sustaining $5 per share it would be a possible time that dividends would be considered?
I've always played in the specky end of the pool and so don't have much of a feel for dividend payments, though am very much looking forward to them with our BRN.![]()
I will give it a crack.
Nigh on impossible, but my very simple math below may give a very loose calculation on dividend potential.
$5.00 share price.
X 1,800,000,000 ( Roughly total shares on issue & restricted.)
= $9,000,000,000.00 market cap.
* now assuming this 9 billion dollar market cap is actually arrived at by income / royalty s .
$9,000,000,000.00 market cap.
÷ PE 20 ( price to earnings ( conservative in the tech space)).
=$450,000,000.00 in actual revinues ( Royalties $ IP Licensees etc.)
So
Of this $450,000,000.00 revenue/ income
- say $85,000,000.00 for the companys running costs, R&D, S&M etc.
Leaves $ 365,000,000.00
Now it can go several ways from here....
This is my favourite way....
$365,000,000.00 gross dividend
Minus roughly $100,000,000.00 in past company losses carried foward from past years.
= $265,000,000.00÷100=$2,650,000 (= 1%)×30. ( company tax rate)=$79,500,000.00 TAX PAID BY COMPANY.
Leaves$185,500,000.00÷1,800,000,000 shares = $0.102778 Fully Franked Dividend(tax paid)
&
$0.0441667 as a franking credit.
Plus
$0.05556 cents tax free ( past company losses are returned to holders tax free .)
So roughly $ 0.2027775
Total dividend per security.
THIS IS ALL HYPERTHETICAL , AND DEFINITELY NOT FINANCIAL ADVICE.
Hope this was of some help HopalongPetrovski.
Regards,
Esq.
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