HP (NYSE:HPQ) made known its goal for future annual dividend increases and announced the firm’s board of directors authorized a 50 percent increase of the regular quarterly dividend to $0.12 per share.
According to the firm, “the amount of future dividend increases will be determined annually, but HP currently intends for the year-over-year percentage increase to be in the double digits. All future dividends are subject to approval by HP’s board of directors.”
The dividend increase will take effect when the board declares the next dividend, which is likely to occur in May.
“HP is committed to a disciplined approach to capital allocation, ” CFO Cathie Lesjak. “Our first priority is to invest capital back in the business for both growth and efficiencies. In addition, we have the financial strength to return capital to our stockholders.”