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W | A | M Microcap The most exciting undervalued growth opportunities in the Australian micro - cap market . 2021 Half Year Results Chairman's update Geoff Wilson AO . . 155.2 % increase in operating profit before tax 36.4 % investment portfolio performance , outperforming the Index by 16.1 % ^ 4.0c per share fully franked interim dividend , 33.3 % increase WAM Microcap Limited ( ASX : WMI ) achieved a 155.2 % increase in operating profit before tax to $ 69.6 million and a 149.9 % increase in operating profit after tax to $ 49.2 million in its FY2021 half year results . The operating profit for the period is reflective of the strong investment portfolio performance and the growth in assets over the period . The Board of Directors declared a fully franked interim dividend of 4.0 cents per share , representing a 33.3 % increase on the FY2020 fully franked interim dividend . The interim dividend represents an annualised fully franked dividend yield of 4.2 % * and a grossed - up dividend yield of 6.0 % " . The fully franked interim dividend has been achieved through the strong performance of the investment portfolio since inception and the profits reserve available and is consistent with the Company's investment objective of delivering investors a stream of fully franked dividends . The Company's profits reserve at the end of the period was 37.5 cents per share and forms part of the net tangible assets ( NTA ) . The investment portfolio increased 36.4 % * during the period , outperforming the S & P / ASX Small Ordinaries Accumulation Index by 16.1 % , with an average cash level of 14.0 % , and ended the 2020 calendar year up 28.7 % , outperforming the Index by 19.5 % We were pleased with the strong investment portfolio outperformance , which was achieved by the investment team's rigorous application of our proven investment process . During the period the investment team saw significant opportunities in the market and successfully invested the $ 88.0 million of additional capital raised via the August 2020 Share Purchase Plan and Placement . The capital raised provided additional access and exposure to market opportunities , such as capital raisings and pre - IPO investments and was invested in accordance with our disciplined investment process . WAM Microcap provided shareholders with a total shareholder return of 61.0 % in the six months to 31 December 2020 , reflecting the Company's strong investment portfolio performance and the increase in the share price relative to the NTA . * Based on the 31 December 2020 share price of $ 1.89 per share . " Grossed - up dividend yield includes the benefit of franking credits and is based on a tax rate of 30.0 % . Investment portfolio performance and Index returns are before expenses , fees and taxes . Dividend increase + 33.3 % Annualised fully franked interim dividend 8.0c Annualised fully franked dividend yield " 4.2 % Fully franked interim dividend The Board declared a fully franked interim dividend of 4.0 cents per share , representing a 33.3 % increase on the FY2020 fully franked interim dividend . The Dividend Revinvestment Plan ( DRP ) will be operating at a 2.5 % discount for the interim dividend . Key dividend dates Ex dividend date 7 April 2021 Record date 8 April 2021 Last election date for DRP 12 April 2021 Payment date 20 April 2021 Since inception in June 2017 , WAM Microcap has paid 21.75 cents per share in fully franked dividends to shareholders , including 7.25 cents per share in fully franked special dividends . The Board is committed to paying an increasing stream of fully franked dividends to shareholders , provided the Company has sufficient profits reserves and franking credits and it is within prudent business practices . The Company's ability to generate franking credits is dependent upon the receipt of franked dividends from investments and the payment of tax on profits . The Company's profits reserve at the end of the period was 37.5 cents per share , before the payment of the fully franked interim dividend of 4.0 cents per share . W | A | M Microcap ABN 34 617 838 418 Telephone . +61 2 9247 6755 Fax . +61 2 9247 6855 info@wilsonassetmanagement.com.au wilsonassetmanagement.com.au