Direct Line Insurance Group (DLG)

[monabri]

Half Year Report

viewtopic.php?p=204065#p204065

"The interim dividend is scheduled to be paid on 3 September 2021 to shareholders on the register on 13 August 2021. The ex-dividend date will be 12 August 2021.

We have declared an interim dividend of 7.6 pence per share, up by 2.7% over 2020. We are also launching the second £50 million tranche of the £100 million share buyback programme we announced with our last year end results."

[monabri]

Dividend History
https://www.dividenddata.co.uk/dividend ... y?epic=DLG

22.3p / 299.5p (August 2nd Close) = 7.45% yield

Code: Select all

Year End | Interim | Final  | Special       | Total* | Growth
12/2021  | 7.60p   | tbc    |             - | tbc    | tbc   
12/2020  | 7.40p   | 14.70p |             - | 22.10p |  2.31%
12/2019  | 7.20p   | 14.40p |             - | 21.60p |  2.86%
12/2018  | 7.00p   | 14.00p | 8.30p         | 21.00p |  2.94%
12/2017  | 6.80p   | 13.60p | 15.00p        | 20.40p | 39.73%
12/2016  | 4.90p   | 9.70p  | 10.00p        | 14.60p |  5.80%
12/2015  | 4.60p   | 9.20p  | 27.50p, 8.80p | 13.80p |  4.55%
12/2014  | 4.40p   | 8.80p  | 10.00p, 4.00p | 13.20p |  4.76%
12/2013  | 4.20p   | 8.40p  | 4.00p, 4.00p  | 12.60p | Na1   
12/2012  |       - | 8.00p  |             - | 8.00p  |      -


[monabri]

DLG Prelims ..more info here - the Final divi increased by 2.7% to 15.1p plus share buyback announced. Current "yield on offer" >8.6%

viewtopic.php?p=485120#p485120

[monabri]

DLG has relatively low debt (it has more cash then it's debt).

ROCE 16%

divi history - see table in previous post.

I think it is pretty reasonably priced based on the DCF calculation.

https://simplywall.st/stocks/gb/insuran ... es#summary

(I hold, along with ADM, at 1.3% and 2.9% of total portfolio value,respectively). I would top up DLG if funds were available.

Interactive Investor comment.

https://www.ii.co.uk/news/direct-line-p ... 9553454600

[monabri]

Half Year report

https://www.investegate.co.uk/direct-li ... 00095328U/

"PENNY JAMES, CEO OF DIRECT LINE GROUP, COMMENTED

"As we announced in our 18 July trading update, uniquely complex motor market conditions during the first half, due to significant regulatory changes, heightened claims inflation and macroeconomic uncertainty, have challenged our short-term profitability.

"However, the longer-term fundamentals of the business remain strong. Through pricing action, steps taken in our garage repair network and through deployment of enhanced pricing capability, we have now returned to writing at our target margins based on latest claims assumptions.

"We are pleased that all of our other businesses have continued to perform in line with expectations. We remain ahead of our long-term return on tangible equity target despite the challenges, demonstrating the benefit of the Group's diversification. We are announcing an interim dividend in line with 2021 and are confident in the sustainability of our regular dividends as we look ahead to the full year and beyond."

(my bold)

The dividend announced was unchanged.

FY 12/2022 Interim XD 11-Aug-22 pay 09-Sep-22 dividend 7.6p