1. Meritz Securities in South Korea released a report predicting that Samsung will launch an "early implementation plan" similar to its aggressive shareholder return plan in 2017, marking the first time in ten years. This plan may include: increasing dividends, no longer deducting acquisition expenses from free cash flow calculations, and allocating 50% of free cash flow to shareholder returns. The plan is expected to be announced in the coming weeks. Given that Samsung also acknowledges that the recent share price decline has undervalued the company's stock, the firm expects the company to prioritize share buybacks and cancellations to enhance shareholder value.
2. Samsung's aggressive shareholder return plan in 2017 included: distributing approximately 9.6 trillion won in ordinary dividends annually for the next three years, nearly doubling the annual dividend increase; allocating at least 50% of free cash flow for shareholder returns over the next three years, with the basis changing from "annual calculation" to "cumulative calculation over three years"; and cancelling all of its treasury shares (worth 40 trillion won).
3. Notably, several South Korean sell-side analysts have released reports predicting Samsung's announcement of a shareholder return plan, suggesting they may have received prior notification from Samsung.
