Korea Electric Terminal Strengthens Shareholder Return Policy After Engaging with Quad Asset Management... Continued Share Buyback and Dividend Increase
Korea Electric Terminal accepted the public letter from Quad Asset Management in January 2025 and established a mid-to-long term shareholder return policy, disclosed in February 2025.
The total shareholder return rate is set at 30% of consolidated net profit (2024-2026), implemented through cash dividends and share buybacks/cancellations.
The 2025 dividend per share increased 43% YoY to 3,200 won, with total dividends of 32.4 billion won.
In April 2025, the company acquired and immediately cancelled 300,000 treasury shares (approx. 20.1 billion won), enhancing shareholder value.
At the 53rd AGM (March 20, 2026), the articles were amended to allow the board to determine the dividend record date, improving dividend predictability.
Appointed independent director Kim Do-sung, a finance/accounting expert, to strengthen board expertise.
The AGM notice was sent 4 weeks in advance (2 weeks earlier than legal requirement), ensuring sufficient review time for shareholders.
However, some governance aspects need improvement, such as lack of electronic voting and absence of a risk management committee.
[AI Comprehensive Analysis]Korea Electric Terminal has significantly strengthened its shareholder return policy through active engagement with institutional investors. The share cancellation and dividend increase are positive for shareholder value. However, further governance improvements, such as introducing e-voting, are needed to protect minority shareholders.