MYTAY Magyar Telekom Telecommunications Plc (PK)

By Margit Feher

BUDAPEST--Shareholders of Hungary's largest telecommunications company Magyar Telekom Nyrt. (MTELEKOM.BU) on Friday approved the none payment of dividends this year from last year's profits, in line with the board of directors' proposal in February.

The move is in line with Magyar Telekom's dividend policy of maintaining its net debt ratio, or net debt to total capital, within the 30%-40% range, and reflects its financial position, the company said in a stock exchange filing in February.

Magyar Telekom made a net profit of 32.13 billion forints ($145.8 million) under Hungarian accounting norms in 2013, which it will put into profit reserves, a move also approved by the shareholders Friday.

Deutsche Telekom AG (DTE.XE) holds a 59.3% stake in Magyar Telekom.

Write to Margit Feher at margit.feher@wsj.com