Core Molding Technologies Initiates Quarterly Cash Dividend of $0.05 Per Share
August 07 2017 - 8:45AM
Business Wire
Core Molding Technologies, Inc. (NYSE American: CMT) (“Core
Molding” or the “Company”) today announced that its Board of
Directors has authorized the payment of a quarterly cash dividend,
the first in the Company’s history. The announcement highlights the
Company’s confidence in its operational performance, expected
growth and long-term strategy.
Dividend Highlights
- Initiating a regular quarterly cash
dividend of $0.05 per share. The first quarterly dividend will be
payable on August 30, 2017 to all common shareholders of record as
of August 18, 2017.
- The dividend initiation does not
diminish the Company’s ability to deploy capital for organic growth
opportunities or potential acquisitions.
- Strong balance sheet and free cash flow
generation supports an ongoing shareholder payout.
“Our decision to declare a quarterly dividend is the result of
our strong balance sheet and profitability, even throughout the
downcycle of our key heavy-duty truck end market,” said Kevin
Barnett, President and Chief Executive Officer. “Today’s
announcement reflects our confidence in our ability to continue to
generate consistent profitability, enabling us to invest in the
growth of our business, both organically and through acquisitions,
while at the same time, enhancing returns to our shareholders.”
About Core Molding Technologies,
Inc.
Core Molding Technologies, Inc. is a manufacturer of sheet
molding compound (SMC) and molder of fiberglass reinforced
thermoset and thermoplastic materials. Core specializes in
large-format moldings and offers a wide range of fiberglass
processes, including compression molding of SMC, glass mat
thermoplastics (GMT) and bulk molding compounds (BMC); compression
and transfer molding of direct long-fiber thermoplastics (D-LFT);
spray-up, lay-up, resin transfer (RTM) and vacuum resin transfer
molding (V-RTM). Additionally, the company offers reaction
injection molding (RIM) of dicyclopentadiene (DCPD). Core serves a
wide variety of markets, including the medium and heavy-duty truck,
marine, automotive, agriculture, construction and other commercial
products markets. Headquartered in Columbus, Ohio, Core maintains
plants in Columbus and Batavia, Ohio; Gaffney, South Carolina;
Winona, Minnesota; and Matamoros, Mexico. For further information,
visit the company's website at www.coremt.com.
This press release may contain certain forward-looking
statements within the meaning of the federal securities laws. As a
general matter, forward-looking statements are those focused upon
future plans, objectives or performance as opposed to historical
items and include statements of anticipated events or trends and
expectations and beliefs relating to matters not historical in
nature. Such forward-looking statements involve known and unknown
risks and are subject to uncertainties and factors relating to Core
Molding Technologies' operations and business environment, all of
which are difficult to predict and many of which are beyond Core
Molding Technologies' control. Words such as “may,” “will,”
“could,” “would,” “should,” “anticipate,” “predict,” “potential,”
“continue,” “expect,” “intend,” “plans,” “projects,” “believes,”
“estimates,” “confident” and similar expressions are used to
identify these forward-looking statements. These uncertainties and
factors could cause Core Molding Technologies' actual results to
differ materially from those matters expressed in or implied by
such forward-looking statements. Except as required by law, Core
Molding Technologies Inc. undertakes no obligation to update these
forward looking statements.
Core Molding Technologies believes that the following factors,
among others, could affect its future performance and cause actual
results to differ materially from those expressed or implied by
forward-looking statements made in this report: business conditions
in the plastics, transportation, marine and commercial product
industries (including slowdown in demand for truck production);
federal and state regulations (including engine emission
regulations); general economic, social, regulatory (including
foreign trade policy) and political environments in the countries
in which Core Molding Technologies operates; safety and security
conditions in Mexico; dependence upon certain major customers as
the primary source of Core Molding Technologies’ sales revenues;
efforts of Core Molding Technologies to expand its customer base;
the ability to develop new and innovative products and to diversify
markets, materials and processes and increase operational
enhancements; the actions of competitors, customers, and suppliers;
failure of Core Molding Technologies’ suppliers to perform their
obligations; the availability of raw materials; inflationary
pressures; new technologies; regulatory matters; labor relations;
the loss or inability of Core Molding Technologies to attract and
retain key personnel; the Company's ability to successfully
identify, evaluate and manage potential acquisitions and to benefit
from and properly integrate any completed acquisitions; federal,
state and local environmental laws and regulations; the
availability of capital; the ability of Core Molding Technologies
to provide on-time delivery to customers, which may require
additional shipping expenses to ensure on-time delivery or
otherwise result in late fees; risk of cancellation or rescheduling
of orders; management’s decision to pursue new products or
businesses which involve additional costs, risks or capital
expenditures; inadequate insurance coverage to protect against
potential hazards; equipment and machinery failure; product
liability and warranty claims; and other risks identified from time
to time in Core Molding Technologies’ other public documents on
file with the Securities and Exchange Commission, including those
described in Item 1A of the 2016 Annual Report on Form 10-K.
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version on businesswire.com: http://www.businesswire.com/news/home/20170807005161/en/
Core Molding Technologies, Inc.John Zimmer,
614-870-5604Vice President & Chief Financial
Officerjzimmer@coremt.comorInvestor Relations:The Equity
Group Inc.Fred Buonocore,
212-836-9607fbuonocore@equityny.comorKevin Towle,
212-836-9620ktowle@equityny.com
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