OMV’s Proposed Payout Captures Investor Interest

Austria's OMV has delivered a robust set of preliminary figures for 2025, with a proposed dividend distribution emerging as the standout feature for shareholders. The energy and chemicals group's ongoing strategic transformation appears to be yielding tangible results, strengthening its financial position.

The company's board has put forward a total dividend of €4.40 per share for the 2025 financial year. This payout comprises a regular dividend of €3.15 per share, supplemented by an additional €1.25 per share. Based on a recent share price of €52.35, this translates to a dividend yield of approximately 8.4%—a figure likely to garner significant attention in the current market environment.

Key Preliminary Financial Highlights for 2025:
- CCS Operating Result: €4.6 billion
- Cash Flow from Operating Activities: €5.2 billion
- Leverage Ratio: A low 14%

The strong balance sheet, evidenced by the modest 14% leverage ratio, provides the conglomerate with considerable financial flexibility.

Should investors sell immediately? Or is it worth buying Omv?

Chemicals Division Reports a Surge

A particularly notable performance came from the Chemicals & Materials unit. In the fourth quarter, its adjusted operating profit nearly tripled to €236 million. This significant increase is primarily attributed to the revaluation of subsidiary Borealis, conducted in preparation for its joint venture with ADNOC.

The formation of the Borouge Group International, the joint venture with ADNOC, remains on schedule. The integration of Borealis, Borouge, and Nova Chemicals is expected to be finalized during the current quarter, with most necessary regulatory approvals already secured.

Strategic Gas Project Advances

In parallel, the strategically important Neptun Deep gas project in the Black Sea is progressing according to plan. OMV Petrom has confirmed that first gas is targeted for 2027. This development is considered a crucial component for enhancing regional energy supply security.

The company's "Strategy 2030," which focuses on transforming OMV into a sustainable provider of fuels, chemicals, and materials, seems to be creating tangible value. The solid annual results and the attractive proposed dividend underscore the progress being made in this corporate evolution.