A Study About Dividend Policy Of Kangmei Company

Dividend policy is one of the important problems in corporate governance.When the corporate governance layer makes dividend decisions,the relationship between returns to shareholders and surplus reinvestment needs to be properly handled.Good dividend policy can promote the development of the company and take care of returns to shareholder at the same time.On the contrary,bad dividend policy will have the opposite effect.So it is necessary for us to study the dividend policy and to give some suggestions for the dividend decisions of listed companies.The arcitle uses the dividend policy of the Kangmei Pharmaceutical Company as an example to analyze the dividend policy.The Kangmei Pharmaceutical Company is a listed company which operates pharmaceutical manufacturing,medicine trade and health care products production and sales.Firstly this article analyzes the past dividend policy of the Kangmei Pharmaceutical Company.We study the factors that affect the dividend policy of the Kangmei Pharmaceutical Company,and analyzes how the factors to influence the dividend policy of the Kangmei Pharmaceutical Company in the past.Secondly we select dividend policy of several representative listed companies in the same industry.This paper compares the dividend policy of several representative listed companies in the same industry and the dividend policy of the Kangmei Pharmaceutical Company in order to provide the reference about how to improve the dividend policy of the Kangmei Pharmaceutical Company.Finally we forecast the future development of the Kangmei Pharmaceutical Company,and give some suggestions about the future dividend policy of the Kangmei Pharmaceutical Company according to the future development of the Kangmei Pharmaceutical Company.The main conclusions of this paper are as follows: the Kangmei Pharmaceutical Company will be in growth period for a long period in the future,and need a lot of money In order to better coordinate the relationship among the returns to shareholders,the company development and the relevant requirements of regulatory guidelines released by the securities and futures commission,the Kangmei Pharmaceutical Company should adopt low normal adds the extra dividend policy.The Kangmei Pharmaceutical Company should use low cash dividends in practice.The Kangmei Pharmaceutical Company had stipulated cash dividends amount accounted for the proportion of the profits available for distribution in the company's articles of association,so the Kangmei Pharmaceutical Company shall pay an extra dividend every three years.The amount of extra dividends equal to the difference between 30% of the the profits available for distribution realized during the three years and the total amounts of low normal dividend during the three years.