Ashland announces 15 percent increase in quarterly dividend, new dividend policy and $100 million share repurchase program
May 11 2023 - 5:15PM
The board of directors of Ashland Inc. (NYSE: ASH) has declared a
quarterly cash dividend of $0.385 cents per share on the company's
common stock representing a 15 percent increase from the previous
quarter. The dividend is payable on June 15, 2023, to stockholders
of record at the close of business on June 1, 2023. As of April 30,
2023, there were 52,353,681 shares of Ashland common stock
outstanding.
“Ashland recognizes that our shareholders value
the consistency and growth of our dividend,” said Guillermo Novo,
chair and chief executive officer, Ashland. “Going forward, the
company is targeting an annual dividend payout ratio of
approximately 30 percent of adjusted income from continuing
operations. This new policy demonstrates that we are committed to
increasing our dividend annually, consistent with the company’s
expected annual earnings growth as communicated in our Investor Day
in November 2021.”
“Today’s announced dividend increase as well as
our new dividend-growth policy reflect our strong financial
position and our conviction in Ashland’s long-term, profitable
growth strategy,” continued Novo.
In addition, Ashland announced that it intends
to commence a new 10b5-1 trading plan agreement to repurchase up to
$100 million of its outstanding shares under its existing May 2022
evergreen share repurchase authorization. The new 10b5-1 program is
expected to be completed during the June 2023 fiscal quarter.
“Today’s announcements reflect the board of
directors’ confidence in our ability to deliver consistent earnings
and cash flow over time and our commitment to deliver shareholder
value through disciplined capital allocation,” continued Novo.
“Inclusive of the new $100 million repurchase program, Ashland will
have returned approximately $950 million to its shareholders over
the past three years. Ashland’s robust balance sheet and financial
performance affords increased flexibility to support investments in
our key strategies and growth initiatives as well as return capital
to shareholders.”
Forward-Looking Statements
This news release contains forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933, as amended and Section 21E of the Securities Exchange Act
of 1934, as amended. Ashland has identified some of these
forward-looking statements with words such as “anticipates,”
“believes,” “expects,” “estimates,” “is likely,” “predicts,”
“projects,” “forecasts,” “objectives,” “may,” “will,” “should,”
“plans” and “intends” and the negative of these words or other
comparable terminology. Ashland may from time to time make
forward-looking statements in its annual reports, quarterly reports
and other filings with the U.S. Securities and Exchange Commission
(SEC), news releases and other written and oral communications.
These forward-looking statements are based on Ashland’s
expectations and assumptions, as of the date such statements are
made, regarding Ashland’s future operating performance, financial
condition, as well as the economy and other future events or
circumstances. These statements include but may not be limited to
Ashland’s expectations regarding its ability to drive sales and
earnings growth and effectively manage cost.
About Ashland
Ashland Inc. (NYSE: ASH) is a global additives
and specialty ingredients company with a conscious and proactive
mindset for environment, social and governance (ESG). The company
serves customers in a wide range of consumer and industrial
markets, including architectural coatings, construction, energy,
food and beverage, nutraceuticals, personal care and
pharmaceutical. Approximately 3,900 passionate, tenacious solvers
thrive on developing practical, innovative and elegant solutions to
complex problems for customers in more than 100 countries.
Visit ashland.com and ashland.com/ESG to learn
more.
™ Trademark, Ashland or its subsidiaries,
registered in various countries.
Investor Relations: |
Media Relations: |
Seth A. Mrozek |
Carolmarie C. Brown |
+1 (302) 594-5010 |
+1 (302) 995-3158 |
samrozek@ashland.com |
ccbrown@ashland.com |
- Ashland board authorizes quarterly dividend_20230511_FNL
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