AXIATA Group Bhd, which turned cash free flow positive at the end of 2009, intends to pay a dividend of at least 30 per cent in 2011, said its chief executive officer, Datuk Jamaludin Ibrahim.

'We aim to progressively increase the payout ratio,' he said, adding that it would however depend on the business prospects, capital requirement and surplus, growth and expansion strategy and consideration for non-recurring items.

He said the dividend policy was to allow shareholders to participate in Axiata's profits as well as retain adequate reserves for future growth.

Jamaludin said this at a press conference after announcing the company's sterling performance in the second quarter of the year.

It posted a higher pre-tax profit of RM970.97 million for the quarter ended June 30, 2010 compared with RM878.62 million in the same period last year, while revenue jumped to RM3.854 billion from RM3.214 billion previously.

He, however said that were no plans for a dividend payout in 2010. - BERNAMA