UNTERFÖHRING (dpa-AFX) - Media group ProSiebenSat.1 is drastically cutting its dividend for the past fiscal year. Instead of the 80 cents distributed for 2021, there will only be five cents for 2022, the MDax-listed company announced in Unterföhring on Thursday evening. Experts, on the other hand, had expected 66 cents.

The reason given was a change in dividend policy. In addition to the general economic environment and adjusted consolidated net income, the company now pays particular attention to an "appropriate level" of leverage when calculating dividends. In addition, ProSiebenSat.1 also takes into account the requirements for investments in the operating business, including the implementation of strategic growth options, particularly in the core business of entertainment.

The benchmark for dividend payments remains adjusted consolidated net income. However, instead of half as before, the company intends to distribute only 25 to 50 percent of this to shareholders. In terms of gearing, ProSiebenSat.1 is targeting the upper end of a range of 1.5x to 2.5x.

The company also announced a change at the top of the finance department. Martin Mildner will take over from Ralf Gierig as of May 1, it said.

The price of ProSiebenSat.1 stock on the Tradegate trading platform recently slumped by nearly six percent compared to the closing price on the Xetra main market./he