This Women's Month, We're Celebrating Africa's Top Female CEOs.

This Women's Month, we're celebrating some of Africa's top female CEOs. These women-led companies with high dividend yields of up to 28% (at the time of writing) and share prices that have risen by up to 70% in a year.

Despite the fact that only 5% of listed companies on Africa's 29 stock exchanges are led by female CEOs, a study of 2,020 companies presented in the Definitive List of Women CEOs' by Africa.com and Standard Bank Group revealed a trend showing women-led firms have significantly outperformed financially.

This mirrors global patterns: McKinsey's 2020 research showed companies with top-quartile gender diversity on executive teams were 25% more likely to have above-average profitability.

The CEOs of Kumba Iron Ore (Mpumi Zikalala), Exxaro Resources (Dr. Nombasa Tsengwa), Sygnia (Magda Weirzycka), and Merafe Resources (Zanele Matlala) are ranked among Africa’s best-performing female CEOs by the Definitive List from Africa.com & Standard Bank. They are leading companies that offer shareholders annual dividend yields of 10% or more.

• As of this writing, Sygnia has an annual dividend yield of 10.24%, Kumba Iron Ore has an annual yield of 10.82%, Exxaro Resources has a yield of 11%, and Merafe Resources has a yield of 28%.

When it comes to growth and dividends, the CEOs of Attacq Limited (Jackie van Niekerk), Spur Corporation Limited (Val Nichas), Clicks Group (Bernita Engelbrecht), and Raubex Group Limited (Ntombi Felicia Msiza) are among the top female CEOs ranked in the list, with companies providing average annual dividend yields and share price increases of up to 70% in the past year.

• Shares of Clicks Group Ltd have increased by 26% in the past year. Attacq Ltd increased by 27%, Spur Corp Ltd by 44%, and Raubex Group Ltd by 76%.

It’s important to note that past performance and past dividend payments do not guarantee future returns or payments. Beyond evaluating whether a company is led by a specific gender, it’s important to evaluate its financials and examine key financial statements for consistent revenue growth, strong profit margins, and manageable debt levels.

Here is more information around when these companies publish financial results or are due to pay dividends:

• Kumba Iron Ore: Its quarterly financial reports are reported in April, July, October, and February. The last date to trade (LDT) to receive dividends is expected to be in August and March.
• Clicks Group: Financial reports are published twice a year in April and October. Dividends LDT in June (paid in July) and January.
• Exxaro Resources: Financial reports are published twice a year in March and August. Dividends LDT in May and September (paid in October).
• Raubex Group Limited: Financial reports are published twice a year in May and November. Dividends LDT in May (paid in June) and November (paid in December).
• Merafe Resources: Financial reports are published twice a year, in March and August, and dividends LDT in April and September.
• Attacq Limited: Financial reports are published twice a year, in March and September, and dividends LDT in April and October.
• Spur Corporation: Financial reports are published twice a year, in February and August, and dividends LDT in March and September.
• Sygnia Ltd: Financial reports are published twice a year, in June and December, and dividends LDT in June and December.

Conclusion

Though the research shows that woman-led companies are more likely to have above-average profitability; as with all investments it's important to always look at the bigger picture and consider things like corporate governance and management quality and whether there is effective leadership, a clear strategic vision, and a robust governance structure. Assessing the company's competitive position and growth potential to gain insights into its strategic position is also crucial.

Additionally, research shows activist shareholders are significantly more likely to target companies led by female chief executive officers, which could mean increased scrutiny and pressure for changes that could affect company strategy and performance. Thus, the company's approach to shareholder relations is an important consideration.