Thac Mo Hydropower (TMP) Final Dividend 20% Boosts 2025 Total to 30%, Beats Target

Overview

Thac Mo Hydropower Joint Stock Company (HOSE: TMP) has announced a final cash dividend of 20% for fiscal year 2025, bringing the total dividend for the year to 30%, significantly exceeding the 20% target set at the beginning of the year. The company will disburse over VND 140 billion on July 31, 2026, to shareholders of record as of July 10, 2026.

Key Facts

• Final dividend for 2025: 20% in cash (VND 2,000 per share), ex-rights date July 9, 2026, payment date July 31, 2026.
• Total 2025 dividend: 30% (VND 3,000 per share), 1.5 times the initial target of 20% approved by the AGM.
• Total payout: over VND 140 billion, based on 70 million outstanding shares.
• Major shareholders: EVN GENCO 2 (51.92%) and REE Energy (42.63%) will receive the bulk of the distribution.
• TMP reported 2025 net profit of VND 303.78 billion on revenue of VND 712.92 billion.
• 2026 profit target: VND 246.88 billion, down 18% year-on-year, due to expected lower hydropower output.
• Historical dividend range: 20% (2021, 2022) to 90% (2023); average since 2008 is 29%.

What Happened

On June 11, 2026, the Board of Directors of Thac Mo Hydropower (TMP) approved the final dividend payment for 2025 at a rate of 20% in cash, equivalent to VND 2,000 per share. The record date is July 10, 2026, with payment starting July 31, 2026. This follows an interim dividend of 10% paid in February 2026, bringing the full-year total to 30%, well above the 20% target set at the start of the year.

The company attributed the higher payout to a strong recovery in 2025 earnings after the El Niño-impacted prior year. TMP’s net profit for 2025 reached VND 303.78 billion, supported by favorable hydrological conditions. However, management has guided for a 18% decline in 2026 net profit to VND 246.88 billion, citing lower water inflow forecasts.

Market Context

TMP shares closed at VND 47,000 on June 11, 2026, unchanged from the previous session, with very thin volume of only 2,200 shares. The stock trades on HOSE and has been relatively stable, reflecting its utility-like profile. The broader VN-Index fell 5 points to 1,798.61 on the same day, with market-wide liquidity hitting a four-month low of VND 10.13 trillion. Foreign investors were net sellers for the fourth consecutive session.

Strategic Significance

TMP’s dividend policy is heavily dependent on annual rainfall and water inflow, making earnings and payouts inherently volatile. The 2025 dividend of 30% is above the historical average of 29% but well below the 90% peak in 2023. The company’s 2026 profit guidance suggests a normalization after a strong year. For long-term investors, the key risk is hydrological variability, which TMP is attempting to mitigate by expanding into solar power, targeting 69 million kWh in 2026. This diversification could reduce earnings volatility over time, but the near-term outlook remains tied to weather patterns.

What to Watch

• Q2 2026 earnings release (expected August 2026) to assess whether the 2026 profit target remains achievable.
• Hydrological data for the Central Highlands region during the rainy season (June-October) to gauge water inflow into Thac Mo reservoir.
• Progress on TMP’s solar power expansion and its contribution to revenue and earnings in 2026.
• Any changes in dividend policy for 2026, which will be announced at the 2027 AGM.
• Foreign ownership trends, as TMP’s high dividend yield may attract foreign investors despite current net selling by the bloc.