By George Stahl
FedEx Corp. raised its quarterly dividend by a nickel to 20
cents, marking the fifth straight year in which the delivery
company has increased its payout to shareholders.
In the previous four years, FedEx increased its dividend by a
penny each time.
As a result of this year's 33% increase, the company's dividend
payout will increase by about $59.2 million over the next year to a
total of $236.4 million.
FedEx's dividend yield, based on its closing stock price Monday
of $143.65, will rise to 0.56% from 0.42%.
Later this month, FedEx is expected to report its fourth-quarter
and fiscal 2014 results. For the year ended in May, FedEx's revenue
is seen rising 3% to $45.4 billion, based on a survey of analysts
by Thomson Reuters.
In the past year, the company has been hurt by severe winter
weather, which shaved $125 million off of its fiscal third-quarter
profit, and some delivery issues around Christmas, which the
company blamed in part on retailers. Still, FedEx's stock has risen
44% over the past 12 months.
The new dividend is payable July 3 to shareholders of record
June 19.
Write to George Stahl at george.stahl@wsj.com
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