Investor Relations

All amendments to this Policy shall be numbered and dated using the following register and shall be signed upon each update.

Policy Amendments

Policy Review

Policy Approval

Custodian

Board Secretary | Chairman of the Board

Version (1) – Approved by the Board of Directors Resolution dated 26 October 2021.

The following words and expressions shall have the meanings assigned to them below unless the context requires otherwise:

All terms not specifically defined in this Policy shall have the meanings assigned to them in the glossary of terms contained in the Company's Corporate Governance Rules and the Corporate Governance Regulations, unless the context requires otherwise.

1. This Policy has been prepared in accordance with the Company's Corporate Governance Rules and Paragraph (2) of Article (9) of the Corporate Governance Regulations, which provides that:

   "The Board of Directors shall establish a clear policy on dividend distribution in a manner that serves the interests of both the shareholders and the Company in accordance with the Company's Articles of Association."

2. This Policy shall be governed by the provisions of the Companies Law, its Implementing Regulations, and the Company's Articles of Association.
3. This Policy aims to:
   1. Establish the principles governing the Company's dividend distribution in a manner that achieves an appropriate balance between providing sustainable dividends to investors and enhancing the Company's ability to achieve its objectives while supporting the long-term growth and development of its business.
   2. Establish the principles and rules governing the mechanism, timing, and disclosure of dividend distributions in a manner that serves the interests of both the shareholders and the Company.

1. Each shareholder shall be entitled to receive his/her share of the net profits resolved to be distributed, whether in cash or through the issuance of shares.
2. The Company shall distribute dividends based on its operating results, cash flows, working capital requirements, and capital investment needs. Accordingly, the Board of Directors shall submit the appropriate recommendations regarding dividend distributions.
3. Pursuant to Article (45) of the Company's Articles of Association, the Company's annual net profits shall be distributed as follows:
   1. Ten percent (10%) of the net profits shall be set aside to form the Company's statutory reserve. The Ordinary General Assembly may resolve to discontinue such allocation once the statutory reserve reaches thirty percent (30%) of the paid-up capital.
   2. Upon the recommendation of the Board of Directors, the Ordinary General Assembly may allocate a percentage of the net profits to establish a discretionary reserve to address significant unforeseen circumstances.
   3. The Ordinary General Assembly may resolve to establish other reserves to the extent that serves the Company's interests or ensures, as far as practicable, a stable distribution of dividends to shareholders. The Ordinary General Assembly may also deduct from the net profits amounts for establishing social institutions for the Company's employees or supporting any existing such institutions.
   4. Thereafter, no less than five percent (5%) of the paid-up capital shall be distributed to shareholders.
   5. Subject to Article (19) of the Company's Articles of Association and Article (76) of the Companies Law, ten percent (10%) of the remaining balance shall be allocated as remuneration for the Board of Directors, provided that such remuneration shall be proportional to the number of Board meetings attended by each member.
   6. Upon the recommendation of the Board of Directors, the Ordinary General Assembly may distribute the remaining balance to shareholders as an additional share of the profits.
4. Where the statutory reserve exceeds thirty percent (30%) of the paid-up capital, the Ordinary General Assembly may resolve to distribute the excess to shareholders in financial years in which the Company does not realize sufficient net profits to distribute the portion prescribed under the Company's Articles of Association. The discretionary reserve (if any) may not be used except pursuant to a resolution of the Extraordinary General Assembly. If such reserve has not been designated for a specific purpose, the Ordinary General Assembly may, upon the recommendation of the Board of Directors, resolve to utilize it in a manner that benefits the Company or its shareholders.
5. Upon the recommendation of the Board of Directors and subject to the approval of the competent authorities, the Ordinary General Assembly may distribute dividends through the issuance of shares.

Pursuant to Article (45) of the Company's Articles of Association, the Board of Directors may distribute semi-annual or quarterly dividends during the financial year, provided that the following requirements are met:

1. The Board obtains authorization from the Company's General Assembly pursuant to a resolution renewed annually permitting interim dividend distributions.
2. The Company maintains consistent profitability.
3. The Company has sufficient liquidity and is reasonably able to forecast its profit levels.
4. The Company has distributable profits, based on the latest reviewed annual financial statements or examined interim financial statements, sufficient to cover the proposed dividend distribution after deducting any profits that have already been distributed or capitalized following the date of those financial statements.
5. The profits generated during the various periods of the financial year have been prepared using the same accounting principles adopted by the Company.
6. There is a reasonable degree of certainty that the Company will be able to maintain such profits until the end of the financial year.

A shareholder shall be entitled to his/her share of the dividends in accordance with the resolution of the General Assembly issued in this regard or, in the case of interim dividends, in accordance with the resolution of the Board of Directors. Such resolution shall specify the entitlement date and the distribution date. Dividend entitlement shall be for shareholders registered in the shareholders' register at the end of the entitlement date.

When resolving to distribute interim dividends or recommending to the General Assembly a proposed dividend distribution, the Board of Directors shall notify the shareholders accordingly. The resolution or recommendation shall include the following:

1. The date of the Board resolution.
2. The distribution period.
3. The total amount to be distributed.
4. The number of shares entitled to dividends.
5. The dividend per share.
6. The distribution ratio relative to the nominal value of the share.
7. The entitlement date for shareholders holding the shares.
8. The distribution date.

1. The Board of Directors shall implement the resolution of the General Assembly regarding the distribution of dividends to the eligible shareholders within a period not exceeding fifteen (15) days from the dividend entitlement date specified in the General Assembly resolution or, as the case may be, in the Board of Directors' resolution approving the distribution of interim dividends.
2. Dividends shall be paid by depositing the amounts directly into the shareholder's designated bank account.

The Board of Directors shall disclose the following in its annual report submitted to the Company's General Assembly:

1. A description of the Company's dividend distribution policy.
2. The dividends distributed to shareholders during the various periods of the financial year.
3. The dividends proposed for distribution at the end of the financial year and the total amount of such dividends.
4. A statement of any arrangement or agreement under which any shareholder has waived any of his/her rights to dividends.

1. This Policy shall be subject to annual review as part of the Company's corporate governance review process, or whenever new instructions or regulations are issued by the competent authorities. This Policy shall be deemed complementary to the Company's Articles of Association and the Company's Corporate Governance Rules.
2. This Policy shall become effective and binding upon the Company as of the date of its approval by the Board of Directors. It shall be published on the Company's website to enable shareholders, the public, and stakeholders to review it. The contents of this Policy may be amended, as necessary, provided that any such amendments are submitted to the Board of Directors for approval at its earliest meeting.
3. This Policy is the property of the Company. It may not be reproduced, copied, or quoted, in whole or in part, without the Company's prior written consent.

Version (1) – Approved pursuant to the Resolution of the Board of Directors dated 26 October 2021.