If you are in the UK or one of 170 countries, the name BT Group is as familiar its predecessor, British Telecom.
The former government-owned telecom utility is now into offering a full compliment of fixed-line, broadband, mobile and Television products and services.
It delivers these services through six business groups: Global Services, Business and Public Sector, Consumer, EE, Wholesale and Ventures and Openreach.
The company was incorporated in 2001 and is headquartered in London. Fewer than a dozen players indirectly control the global communications market. In many countries the market is increasingly reaching maturity resulting in slower growth.
However, this still leaves half of the worlds population either un-served or under served. This is especially accurate when consideration is given to mobile and Internet services.
The amount of capital required to enter, compete and operate in this arena is great and is almost always influenced by government regulation. So the big are likely to get even bigger. BT Group has a long history paying a semi-annual dividend. The current payout of $0.96 offers investors a 3.6% yield.
For a utility, BT's payout has been more volatile than average. The current payout is nearly 50% greater than 2009 but 45% below peak 2014 levels. The current payout ratio is a moderate 42% of EPS and 40% of Free Cash Flow, which is supportive of the current dividend payment.
Here are more details from the company and it's dividend history....BT Group -- Yield: 3.86%
BT Group (NYSE:BT) employs 102,500 people, generates revenue of $24,721.53 million and has a net income of $3,383.54 million. The current market capitalization stands at $52.60 billion.
BT Group's earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $8,602.66 million. The EBITDA margin is 34.80% (the operating margin is 18.54% and the net profit margin 13.69%).
Financials: The total debt represents 34.27% of BT Group assets and the total debt in relation to the equity amounts to 142.27%. Due to the financial situation, a return on equity of 46.26% was realized by BT Group.
Twelve trailing months earnings per share reached a value of $1.94. Last fiscal year, BT Group paid $0.92 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.58, the P/S ratio is 2.07 and the P/B ratio is finally 3.79. The dividend yield amounts to 3.86%.