The year 2023 sees the return of dividends for Ibex 35 and other shares listed on the Spanish Stock Exchange. Just a few days before the end of the year, the Spanish Stock Exchanges and Markets (BME) announced in its annual market report: Dividend payment will be approximately 30 billion euros This figure, distributed throughout the year, represents an increase of 19% compared to last year and is “already around the annual maximums that occurred at the beginning of the last decade”.
Dividend payments will once again match pre-pandemic figures, but Still some way off 2014 all-time highwhen 43,000 million euros were paid to shareholders. “Thanks to these data, the Spanish Stock Exchange is strengthening for another year as one of the best stock exchanges in the world. World leader in dividend yield with 4.1%. The historical average over the last 30 years is 4%, the highest rate among its peers,” states BME.
The exchange’s director argued that we would be in this situation if a further fifteen reported payments were made by Spanish-listed companies between now and the end of the year, amounting to a global amount of close to €2 billion 55 million. We are talking about a year-end where we are approaching the dividend distribution of 30 billion euros. In particular, shareholders’ remuneration 29.498 million euros.
In connection with its policy of rewarding shareholders and increasing the value of their shares, BME focused on the fact that available data shows that listed companies continue to operate throughout 2023. share repurchase and subsequent depreciation schedules It complements the returns from investing in shares.
Thus, until November 2023, companies traded on the stock exchange maintained the trend of the previous year and bought back their shares for a market value of 2023 TL. 11,823 million euros with 27 operationsThis means 7.3% more than in the same period in 2022.
BME explained that this behavior is mainly due to: Operations carried out by the Spanish banking sectorsuch as those performed by CaixaBank, Santander Bank And BBVAThey depreciated capital worth €4,687 million.
Despite all this, BME showed that if we add both items of fees on the Spanish stock exchange (dividends and buybacks), we are talking about a year-end in which fees will exceed 40 billion euros; the historical maximum dates were 2014, when the total was 2014. A fee of 44 billion 315 million euros was paid for both concepts.
Capitalization returns to five-year high
BME stated that the capitalization level of the Spanish stock exchange is very close to the maximum levels reached in the last five years (1.2 trillion euros at the beginning of 2018), and that the total capitalization of the stock increased at the end of November. The market reached 1.18 trillion euros, 14.64% higher than the value recorded in December 2022, supported by an 11.65% increase in the capitalization of Spanish securities and a 19.21% increase in the capital of foreign companies listed on BME platforms.
The manager pointed out that the banking sector is one of the biggest architects of this progress: “The banking sector reached its almost historic first position in 2023”As the group of companies with the highest market value on the Spanish stock exchange after transferring it to the electricity and gas sector during the pandemic year.
As such, BME records show that currently the financial sector has capital of €189,775 million; this amounts to almost 23% of the total value of Spanish listed companies; This is 7 points higher than three years ago and 3 points lower than before. The financial crisis of 2012.