At the present time, many energy companies seem to be cutting their dividends in order to cope with the decline in the industry. However, some companies are still holding tight on theirs. Last July 30, Linn Energy and LinnCo recommended suspension of distributions at the end of the third quarter of the year. Believed to be in the best long-term interest of its stakeholders, the decision reserved approximately $450 million in cash.
On the day before that, Consol Energy also lowered its quarterly payouts and capital expenditures for up to 1 cent from the 6.25 cents per share. Chesapeake Energy also scrapped its dividend earlier and Cenovus energy slashed its distribution by 40%. With oil prices falling consistently, definite dividends are out of the question. Nevertheless, there are companies that still keep their payouts. Here they are:
With the company posting some of its worst numbers in more than 10 years, the company declared its next dividend payment along with its second-quarter earnings. The company earned $571 million in the past quarter, which amounted to 30 cents per share. It is a great difference compared to the $5.7 billion or $2.98 per share last year.
The company announced its plans to increase its quarterly dividend to 74 cents per share. While the firm reported a second quarter net loss of $179 million this year, it feels that the increase is appropriate. Although ConocoPhilipps is holding tight on its dividend, it is making cuts in capital expenditures, operating costs and jobs.
- Exxon Mobile
Declaring its third quarter dividend, Exxon also released its second quarter financial reports two days later. The company’s earnings fell by 52% compared last year and earnings per share dipped to $1 from the $2.05. However, the company managed to distribute $4.1 billion dividends and share purchases.
- Royal Dutch Shell
While he company is cutting costs and expenditures to revamp its finances, it is still keeping its dividends. Announcing its quarterly payout of 94 cents per share, it also reported reducing its capital expenses to $30 billion and cutting 6,500 jobs. Shell’s earning also plunged to $3.8 billion compared to $6.1 billion in 2014.
- Suncor Energy
With its latest round of quarterly results, Suncor managed to exceed expectations and upped its dividends. The Canada-based company reported C$906 million earnings, a slim dip from the C$1.1 billion in 2014. It increased its dividend to 29 Canadian cents per share to return more value to the stakeholders.