S U PLC

-5.61%

1. Low Dividend Payout Ratio: A low dividend payout ratio and an unwillingness to increase dividend payments could signal to shareholders that S&U PLC is not confident in its outlook, or may be struggling to grow its profits.

2. Changes in the macroeconomic environment: The macroeconomic environment in which S&U PLC operates can have an impact on the company’s dividend policy. If the economy enters a recession, for example, the dividend payments could be reduced or eliminated to help the company weather the storm.

3. Financial health: If S&U PLC is under financial distress, its dividend policy may be unsustainable and the dividend payments may be reduced or eliminated if the company cannot generate sufficient profits to pay out dividends.

4. Changes in the company’s performance: If S&U PLC experiences a long-term decline in performance, such as drops in revenues or profits, its dividend policy could be adversely affected.

5. Share dilution: If S&U PLC issues additional shares, the dividend payments could be reduced as the company’s total earning power is diluted with the issuance of new shares. This could decrease the company’s ability to pay out dividends.