Release of Corporate Value and Return Enhancement Plans by 58 SSE-listed Companies in the Past Week, Highlighting the Investment Value of Dividend Assets

Source: The Paper

Reporter of The Paper: Qi Yeyun

On March 6, Wu Qing, Chairman of the China Securities Regulatory Commission, pointed out at a press conference that the market-wide dividends reached 2.4 trillion yuan in 2024, hitting a record high. Subsequently, listed companies would be further promoted to strengthen investor returns.

At present, SSE-listed companies can achieve remarkable results in corporate value and return enhancement, and the investment value of dividend assets is becoming increasingly prominent. Since the beginning of this year, a large number of SSE-listed companies have actively released corporate value and return enhancement plans. Over the past week alone, 58 SSE-listed companies have released their plans. So far, more than 1,300 SSE-listed companies have launched action plans, accounting for nearly 60%. Additionally, the dividend yield of 142 SSE-listed companies has been no less than 3% for three consecutive years, forming a stable group with high dividends.

Take CNOOC Limited (600938) as an example. Since the release of the 2024 "corporate value and return enhancement" plan, it has attached great importance to long-term returns for investors. It was disclosed in early 2025 that the dividend payout rate from 2025 to 2027 would be no less than 45%, with the lower limit increased by 5%. Since the listing of Tangshan Port Group Co., Ltd. (601000), its accumulated cash dividends have reached 8.374 billion yuan. The proportion of cash dividends in 2020-2023 exceeded 60%, and a shareholder return plan was also formulated. Since the listing of Nantong Jiangshan Agrochemical & Chemicals Co., Ltd. (600389), the company has paid dividends 22 times. As of 2024, the semi-annual dividend amount had been 8.77 times that of the raised funds. The cumulative cash dividend amount over the past three years has reached 1.274 billion yuan.

High-dividend companies are favored by the market, especially funds that seek long-term stable returns. The share price of such companies has achieved remarkable performance, with an increase of 34% since January 1, 2022, higher than that of SSE-listed companies and all listed companies during the same period. In terms of stability, the average annualized volatility was 34%, 11 and 16 percentage points lower than that of SSE-listed companies and all listed companies respectively. In terms of profitability, the net profit margin on sales in the third quarter of 2024 reached 13.86% and the return on equity was 12.43%, both far exceeding those of other listed companies.

In recent years, domestic dividend index-based investment has developed rapidly. The SSE and China Securities Index Co., Ltd. have released more than 90 dividend indices, with a product tracking scale of about 120 billion yuan and a publicly offered fund scale of about 140 billion yuan. A new dividend theme index was released on January 24 this year. The SSE Dividend Index has performed remarkably well, with a dividend yield of 6.75% on March 5, 2025, placing it in a high percentile. Over the past two years, it has achieved an increase of 18%, outperforming both the broader market and similar indices. Moreover, capital market reform and policy orientation have brought about positive effects. Coupled with the continuous inflow of medium- and long-term capital into the market and the ongoing optimization of dividend distribution by listed companies, dividend index products are expected to better serve residents' wealth management and the high-quality development of the economy.

The above information is provided for reference purposes only and does not constitute investment advice.