Hmmm probably in our dreams! And it definitely wont be within the next 6 months I would have thought. Even looking at other small caps who have ten's of million's of dollars turnover, they too still don't pay dividends.
A company has an opportunity to pay its investors a dividend only after it has become profitable and can generate cash flow. Cash flow gives a company a lot of options.
They have the option of using this excess cash to either invest it back into their business or pay it out as dividends. Sometimes companies will be trying to grow a new area of their business and they'll want to plow their cash back into the business because they think they could get a strong return on their investments. Or sometimes companies won't have new areas to invest in and they feel that by paying a dividend, their shareholders can earn a better return on that cash than they can earn for them.
Looking at AKK, it is hard to say at this stage whether there are any other projects or acquisitions on the table in the near future. So ultimately they may look at giving their shareholders a small dividend. There have been many rumors floating around about more land acquisition but I suppose time will tell.
tw
AKK Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
