Our analysis is based on comparing Hong Kong & China Gas Co. Ltd. with the following peers – Gas Natural SDG, S.A. Unsponsored ADR, Companhia de Gas de Sao Paulo-Comgas and Promigas SA ESP (GASNY-US, CGAS3-BR and PROMIGAS-CO).
Dividend Quality Overview
- Dividend quality trend has not been consistent over the last five years. Dividends were paid during each of these years — of these 1 was high quality, 1 was medium quality and 3 were low quality.
- The ending cash balance, with a dividend coverage of 2.78x, provides a moderate cushion in case of a significant reduction of cash flows in the future.
Quadrant label definitions. Hover to know more
Over the last twelve months (prior to December 31, 2016), HOKCY-US paid a low quality dividend.
The source of the company’s cash to support the dividend paid over the last twelve months is operating cash flow (coverage of 2.14x), investing cash flow (coverage of -2.01x), issuance cash flow (coverage of -0.01x) and twelve-month prior cash (coverage of 3.17x), for a total dividend coverage of 3.78x.
These coverage ratio factors imply that the firm had to dip into the beginning cash balance to pay the dividend, which suggests a low dividend quality.
|Dividend Yield (%)||2.31||1.85||1.85||2.17||2.39||2.73|
|Dividend Payout (%)||55.01||45.9||48.68||52.11||57.01||57.02|
A complete list of metrics and analysis is available on the company page.
Hong Kong & China Gas Co. Ltd. engages in the production, distribution, and marketing of gas, water, and energy related activities. It operates through the following segments: Gas, Water and Related business, New Energy, Property, and Others. The Gas, Water, and Related business segment includes city-gas projects, water supply and waste water treatment, methane liquefaction, production of coal-based chemicals and vehicular fuels, landfill gas utilization, and operation of aviation fuel facilities. The Property business engages in property development and investment activities, which include engineering and construction services, telecommunications infrastructure and services, design and production of polyethylene piping systems, and the operation and maintenance of production plants. The company was founded in 1862 and is headquartered in Hong Kong.
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