Title :

Dividend Distribution Policy 

Content :

Oman Cables Industry SAOG announces that its Board of Directors approved a Dividend Distribution Policy during its meeting held on 29 January 2026, In accordance with the Circular no. (3/2025) concerning Dividend Distribution Policy issued by the Muscat Stock Exchange (MSX). This policy aims to distribute annual cash dividends to shareholders, subject to the company’s performance, financial position, and the necessary regulatory and shareholder approvals. The main provisions of the policy are as follows:

Dividend to shareholder intent: The company intends, in principle, to pay dividend to shareholders, subject to the stipulations of this policy.

Interval: Annual (in principle). The Board of Directors can recommend to the shareholders the distribution of interim dividend, subject to the stipulations of this policy.

Dividend Distribution Strategy: Cash (in principle). The Board of Directors can recommend to the shareholders the distribution of bonus/DRIP (Dividend Re-Investment Plan) or other, subject to the stipulations of this policy.

Company’s Financial Position: The company distribution of dividend is based on net profit or retained earnings.

Growth Strategy and Industry Update: While the company intended to distribute dividend to its shareholders, the recommendation of the Board of Directors takes into consideration (1) the prioritization of maintaining a robust and stable financial position, (2) ensuring cash availability requirements for company operations, (3) investments and future growth plans of the company, (4) economic conditions, macroeconomics, and competitive advantage updates.

Dividend Distribution Plan:  The disclosure of the dividend announcement proposal will include the date qualifying for registered shareholders for dividend and the amount of dividend per share on the paid-up capital.

Dividend Announcement Placement Plan: The company will publish all announcements related to dividend distributions via the official website of Muscat Stock Exchange and the company’s website www.omancables.com, in accordance with the regulatory requirements. These announcements will include all details regarding distribution value, entitlement date, methods of dividend payment, and any developments or decisions that may affect the distribution process. The company ensures that the disclosures are clear and transparent, providing shareholders with timely information to guarantee fairness and equality among all shareholders, relying exclusively on official channels of communication and disclosures to avoid any confusion or conflicting information.

Dividend approval: The Board of Directors recommends the dividend proposal for the approval of the General Meeting of Shareholders.

Policy Rationale: The company, in principle, intends to adopt the distribution of annual cash dividend to its shareholders, from net profits or retained earnings, subject to the consideration of the Growth Strategy and Industry Update as articulated in this policy, and after obtaining necessary approvals from the relevant authorized bodies (General Meeting of Shareholders) and regulatory authorities (if any), in accordance with the laws and regulations in force in the Sultanate of Oman.

Financial Period Covered by Distribution, and Dividend Distribution Plan and Approval: Annual Financial Year. The Board of Directors will recommend to the General Meeting of Shareholders the approval of the Annual Audited Financial Statements of the company, along with the dividend distribution proposal (within the regulatory timelines). The General Meeting of Shareholders will decide on the recommendations of the Board of Directors.  The distribution of the dividend will only be executed after receiving official approval from the General Meeting of Shareholders, with confirmation that the total cash distribution per share does not exceed the approval.

Dividend Distribution Plan and Approval: The company intends to announce annual dividend distribution recommendation during January of each year, after the Board of Directors reviews the business results, proposes the appropriate distribution amount to the approval of the Annual General Meeting of Shareholders.  Distribution will only be executed after receiving official approval from the General Meeting, with confirmation that the total cash distribution per share does not exceed the percentage approved by shareholders at the meeting. The company could announce interim dividend, as an exception to the policy, subject to Board of Directors recommendation and Shareholders’ approval.

Additional Information: Depending on the stipulations and consideration stated in this policy, the Board of Directors can recommend to the General Meeting of Shareholders the approval of Interim Dividend, in cash or bonus or DRIP or other permitted form, following the required process of decision/recommendation/consideration/disclosure/approval/distribution, in full compliance with the regulatory requirements.

Principles:

An annual or provisional profit and loss distribution shall be made as per a decision by way of an ordinary general meeting according to the latest audited financial statements.

It is permitted, with the approval of an ordinary general meeting, that a part of the company's net profits can be converted into stocks allocated to the shareholders. This shall result in increasing the issued capital by the same value of these stocks.

 

Prohibition of Distribution:

Profits may not be distributed to the shareholders in the following cases:

1. If the distribution affects the company's ability to pay its debts and fulfil its financial obligations on their due dates.

2. If the distribution results from imaginary profits.

3. If the company incurs losses, which are not covered in full.

 

No distribution may be made except from net profits after the deduction of all the relevant costs, and consumables, provisions and reserves including the profits provided by the company for increasing its capital.

 

Amendments: The company reserves its full right to amend or update the dividend distribution policy whenever necessary, in accordance with regulatory developments or changes in the company’s financial or strategic circumstances. The company is committed to informing all shareholders and stakeholders of any material changes to the distribution plan by announcing them through approved official channels, including submitting required disclosures to Muscat Stock Exchange and publishing on the company’s official website www.omancables.com. This measure is part of the company’s disclosure and transparency policy, ensuring shareholders are kept informed in a timely manner of all relevant developments, and strengthening confidence in its financial and administrative policies.

Disclaimer: This statement serves as a guiding framework for the company’s approved dividend distribution policy and aims to clarify the general principles guiding the annual distribution process. However, this statement does not constitute a final commitment or absolute guarantee regarding future dividend distributions, as these depend on the review of annual financial results, regulatory changes, market conditions, and the company’s financial strategy each year. The Board of Directors retains full rights and discretionary authority to propose or announce dividend distributions as deemed appropriate for prevailing circumstances, whether in terms of amount or timing of distribution. The Board may also amend, update, or make exceptions to this policy if material changes occur in the company’s regulatory, financial, or strategic environment, as required for the company’s and shareholders’ best interests in the long term. The company is committed to clearly and transparently notifying shareholders of any amendments or exceptions to the dividend distribution policy through approved official channels, ensuring shareholder participation in all related decisions and achieving the highest levels of transparency and credibility.

 

Contact Information:

Jad Atallah - Investor Relations

Email: [email protected]

Phone +968 24443100