Introduction
When Vermilion Energy (VET) released their results for the fourth quarter of 2019, they also disappointed their yield chasing shareholders by halving their dividend payments. It was only approximately four months ago that I warned that their massive double-digit dividend yield was unlikely to be sustained well into the future. Normally when a company halves their dividend payments there is little reason to question their sustainability going forward; however, given their recent financial performance and the current macroeconomic backdrop, these questions are still warranted.
Dividend Coverage
When assessing dividend coverage, I