What are the reasons for Peker GMYO not distributing dividends?

The Profit Situation and Distribution Policy of Peker REIT

Peker Real Estate Investment Trust (REIT) has drawn attention in recent years, yet one of the most important issues for investors is the dividend distribution. However, as of 2023, it has been observed that the company has not made any dividend payments. This situation raises some questions in the minds of investors.

Profit and Loss Situation Under IFRS and Tax Procedure Law

Last year, it is known that Peker REIT reported a net profit of 81.6 million TL under International Financial Reporting Standards (IFRS). However, according to the Tax Procedure Law (TPL), the company has reported a 1.3 billion TL loss. This discrepancy has arisen due to high borrowing costs and the effects of revaluation differences.

Prerequisites for Profit Distribution

For a company to be able to make dividend payments, it must first generate profit. The current loss of Peker REIT indicates that there is no distributable profit available. Therefore, no decision has been made to distribute dividends for 2024.

Company's Capital Increase Activities

When examining Peker REIT's past data, it can be understood that the company has never implemented a dividend distribution policy. Instead, it has preferred to continue its growth strategy by resorting to capital increase methods. In July of last year, the company carried out a 100% paid capital increase, and the previous year it also conducted a 273.23% rate of free capital increase.

Conclusion

Considering Peker REIT’s history and current situation, it is evident that investors' expectations for dividend payments have not been met, and the company’s profit distribution policy is structured in line with its growth objectives.