Gorenje shareholders to get EUR 0.1 per share in dividends

Velenje, 14 July (STA) - The shareholders of household appliance maker Gorenje decided at Friday's AGM to pay out the entire 2016 distributable profit of EUR 2.43m in dividends. The shareholders will get EUR 0.10 cents gross per share after they were left without payment last year. Karl Kardov was appointed a new supervisor for a year.

Kardov was put forward by a group of shareholders around Philip Sluiter, a Dutch businessman who holds 5% in the group, already last year. He replaces Toshibumi Tanimoto, who left the supervisory board for health reasons in April, and will serve until 20 July next year.

Meanwhile, Chairman Franjo Bobinac presented half-year results of the group, assessing the January-June period as the best six months in the past five years.

However, he stressed that the second half of the year had been demanding and unpredictable. The group will put in an effort to meet sales plans, especially in western Europe.

Bobinac said the group was implementing measures to limit negative factors, such as rising costs of key raw materials and components, and labour cost pressures.

In the first six months of the year, Gorenje's turnover reached almost EUR 624m, up 7.3% from the same period last year. Net profit doubled to EUR 4.4m. Detailed results will be published on 25 August, the company said in a press release.

Despite warnings that Gorenje was lagging behind competitors, the supervisory board decided to offer Bobianc a new term at the helm of the group because of the group's improved business results.

The supervisory board argued that "at the moment, stability ... is in the interest of the company and its shareholders".

He has 15 days to decide whether he will stay on until 2023, news portal and business paper Finance reported.

Dividends will be paid out on 4 August.