Since I hold all ZIM shares in IRAs I always assume the 25% withholding tax will be lost.
ZIM down 7% as I type. A buy, IMO. The ZIM report is what I expected, including the $2.85 dividend which is a little higher than my $2.75 estimate which was very predictable. ZIM earnings guidance and dividend policy has been straightforword and, so far, reliable, yet there has been confusion about the dividend policy and the business in general. Throw in the tax question and the fact that it is a high-yield 'shipping' stock and you get a buying opportunity.
From the company's press release.......
Q1-2022 Dividend
In accordance with the Company's dividend policy, ZIM's Board of Directors declared a cash dividend of approximately $342 million, or $2.85 per ordinary share, reflecting approximately 20% of first quarter 2022 net income. The dividend will be paid on June 8, 2022 to holders of ZIM ordinary shares as of May 31, 2022.
Dividend policy: the Company intends to distribute a dividend to shareholders on a quarterly basis at a rate of approximately 20% of the net income derived during such fiscal quarter with respect to the first three fiscal quarters of the year, while it expects that the cumulative annual dividend amount to be distributed by the Company (including the interim dividends paid during the first three fiscal quarters of the year) will total 30-50% of its annual net income. All future dividends are subject to the Company's Board discretion and to the restrictions provided by Israeli law.