Cabot Microelectronics (CCMP) Raises Quarterly Dividend 100% to $0.40; 1.5% Yield

Cabot Microelectronics (NASDAQ: CCMP) declared a quarterly dividend of $0.40 per share, or $1.6 annualized. This is a 100% increase from the prior dividend of $0.20.

The dividend will be payable on April 30, 2018, to stockholders of record on March 23, 2018, with an ex-dividend date of March 22, 2018.

The annual yield on the dividend is 1.5 percent.

In addition, the company intends to distribute at least 50 percent of prior fiscal year free cash flow to shareholders on an ongoing basis through a combination of cash dividends and share repurchases. This combination would represent at least $60 million, based on the company’s fiscal 2017 free cash flow of approximately $120 million. As of December 31, 2017, the company had approximately $120 million of authorization remaining under its existing share repurchase program.

David Li, President and CEO of Cabot Microelectronics, stated, “Our track record of profitability and strong cash generation has enabled us to execute a balanced capital deployment strategy over the years, including organic investments, dividends, acquisitions and share repurchases. We are pleased to now significantly increase – by doubling – our regular quarterly cash dividend, and announce our intention to distribute at least 50 percent of our ongoing annual free cash flow to our shareholders through a combination of cash dividends and share repurchases. We believe this clearly demonstrates our confidence in our future performance and cash generation capabilities, as well as our continued commitment to delivering ongoing value to our shareholders. Our capital deployment priorities remain (1) investing in the organic needs of our business, (2) paying dividends, (3) executing mergers and acquisitions, and (4) repurchasing shares.”

For a dividend history and other dividend-related data on Cabot Microelectronics (CCMP) click here.

You May Also Be Interested In

• Otis Worldwide (OTIS) Raises Quarterly Dividend 14.7% to $0.39; 1.6% Yield
• Pacific Premier Bancorp (PPBI) Declares $0.33 Quarterly Dividend; 5.8% Yield
• Pinnacle Financial Partners (PNFP) Declares $0.22 Quarterly Dividend; 1.1% Yield