JAKARTA – Amid share price fluctuations due to external pressures, PT Asuransi Tugu Pratama Indonesia Tbk (TUGU) is expected to offer a dividend yield of up to 7.9% for the 2024 financial year.

Since its listing on the Indonesia Stock Exchange (IDX) in 2018, TUGU has consistently distributed dividends with a payout ratio (DPR) of around 30-40%.

Based on this trend, the 2024 financial year dividend is estimated to range between IDR 210 billion to IDR 280 billion, equivalent to a dividend of IDR 59.06 to IDR 78.75 per share.

Ryan Santoso, an analyst at BCA Sekuritas, commented that TUGU’s dividend yield potential is attractive, around 5.9% to 7.9% at a share price of IDR 1,000 per share.

"This yield is even higher than the average IDX High Dividend 20 last year, which was around 6.7%," he said, as quoted in Tugu's official statement on Monday (10/3).

Ryan also noted that if TUGU’s shares experience further corrections, it could present an opportunity for investors to enter and secure a higher dividend yield.

"Stocks with a history of large dividends typically see a rally before the General Meeting of Shareholders (RUPS) and the cum date of the dividend," he added.

As of today (10/3), TUGU’s shares have remained relatively stagnant, with an opening price of IDR 1,005 and reaching a high of IDR 1,010 per share by 15:10 WIB.

In the previous year, TUGU distributed dividends amounting to IDR 528.96 billion, or 40% of the 2023 profit, with a yield of 12.7%. A similar trend has been observed in previous years, with a stable DPR of 40%.

According to data from IDNFinancials.com, TUGU’s financial performance in 2024 recorded a net profit of IDR 700.85 billion, driven by a 10.73% year-on-year (yoy) increase in gross premiums to IDR 8.54 trillion, and a 13.8% yoy rise in underwriting income to IDR 2.97 trillion in 2024.

Additionally, TUGU’s total assets increased by 4.82% yoy, reaching IDR 26.35 trillion, while total equity rose by 2.22% yoy to IDR 10.5 trillion throughout 2024.

As of December 2024, TUGU reported a total risk-based capital (RBC) of 432%, significantly higher than the industry average of 326%. (DK/ZH)