Electronic payment solutions provider Jack Henry & Associates has declared a regular quarterly dividend of $0.20 per share, a 54% increase over its previous payout of $0.13 per share.
The dividend will be paid on May 30 to shareholders of record as of the close of business on May 17. The increase raises the annualized dividend from $0.52 to $0.80 per share and will yield 1.7%.
Jack Henry & Associates CEO Jack Prim said: "Our company continues to have strong organic growth and increasing cash flow, even with our increased internal research and development initiatives. This increase in our dividend and share repurchase authorization evidences our confidence that these trends will continue and our commitment to deploy our cash to the benefit of our shareholders."
The board of directors also added an additional 5 million shares to its current buyback program on which 4.14 million shares remain, bringing the total current authorization to 9.14 million shares. The company will finance its share repurchases with available cash reserves or short-term borrowings on its existing credit facility.
Jack Henry & Associates has paid a quarterly dividend continuously since 1990 and has raised its payout every year since 2004.
The article Jack Henry Increases Quarterly Dividend 54% originally appeared on Fool.com.
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