Are there any changes to the company's dividend policy in light of the higher earnings?

Answer

The trading statement does not announce any alteration to Sas‑​S ( SAS )’s dividend policy. The release merely highlights that earnings per share are projected to rise by more than 20 % for the quarter ending 30 June 2025, referencing the July 22 SENS announcement. No specific dividend declaration, payout‑ratio adjustment, or change in the timing of dividend payments is mentioned.

What this means for traders

• Fundamental backdrop: A 20 %+ EPS uplift gives the board additional free cash flow that could comfortably support a higher or at‑least unchanged dividend, especially for a mature, cash‑generating integrator like Sasol. Historically, the company has kept its payout ratio in the 30‑40 % range; with stronger earnings, the market will likely price‑in a modest dividend lift unless the board signals a shift in capital‑allocation priorities (e.g., reinvestment in downstream projects or debt reduction).

• Market dynamics & price action: In the absence of a formal dividend‑policy update, the immediate reaction will be driven by the earnings surprise itself. Expect a short‑term bullish bias on the stock—higher EPS typically fuels a price rally, especially on the Johannesburg Stock Exchange where dividend‑yield investors are a sizable component of the demand base. Technicals will likely show a break above recent resistance (≈ R 1 850) with momentum indicators (RSI, MACD) turning positive.

• Actionable take‑away:

  • Short‑term: Consider a long position or add to existing holdings on a pull‑back, targeting the next resistance level while keeping a stop just below the prior swing low (≈ R 1 800).
    
  • Medium‑term: Monitor for a dividend‑announcement window (typically a few weeks after the earnings release). If Sasol confirms a higher payout, the stock could see an additional upside of 2‑3 % as dividend‑seekers rotate in.
    
  • Risk: If the board signals a shift toward capital‑intensive projects or a lower payout ratio, the upside may be capped; stay alert to any follow‑up press releases or board‑meeting minutes.