Shareholder profits in corporations

In profit-seeking companies, shareholders are entitled to a portion of the profit earned.

The portion of shareholders' profits is the dividend. According to the Swiss Code of Obligations, the dividends can only be earned from the profit shown on the balance sheet and from the reserves set up for this purpose. A shareholder is not entitled to interest generated on his or her capital stock. Apart from the dividend, the shareholder receives no other payment (the purchase of treasury shares is authorized only up to a volume of 10% of the capital stock). The additional profit shares paid to the members of the board of directors can only be deducted from the balance sheet profit, and only if the dividends paid amount to at least 5%.

Last modification 10.07.2018

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