PepsiCo to Raise Dividend by 10%, Effective With June Payout

By Colin Kellaher

PepsiCo Inc. on Thursday said it plans to raise its dividend by 10% later this year.

The Purchase, N.Y., beverages and snacks giant said it is raising its annualized dividend to $5.06 from $4.60, or to $1.265 from $1.15 on a quarterly basis, effective with the June payout.

The increased dividend would represents an annual yield of about 2.96% based on Wednesday's closing price of $171.16, up from 2.69%.

PepsiCo, which has about 1.38 billion shares outstanding and sports a market capitalization of roughly $236 billion, said it expects to pay about $6.7 billion in dividends this year and to buy back $1 billion in stock, bringing total cash returns to shareholders to around $7.7 billion.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

February 09, 2023 06:34 ET (11:34 GMT)

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