BT payout ‘not’ threatened
NUMIS HAS ruled out any threat to BT’s (BT.A) dividends and has crunched the numbers to prove the point.
‘BT’s underlying free cash flow is much more substantial than some assert, so the dividend is not under threat,’ states John Karidis.
His calculations based on pension obligations, one-offs and capital expenditure suggest free cash flow will cover 2019 and 2020 income by 1.7 and 1.8-times. (SF)