DEERFIELD, Ill. — Caterpillar’s Board of Directors voted on Wednesday to raise the quarterly cash dividend by nine cents, an 8% increase, to $1.20 per share of common stock, payable August 19, to shareholders of record at the close of business on July 20.
“Our dividend increase reflects our strong balance sheet and liquidity position as well as confidence in continued strong free cash flow generation from Machinery, Energy & Transportation (ME&T),” said Caterpillar Chairman and CEO Jim Umpleby. “We intend to return substantially all ME&T free cash flow to shareholders over time through dividends and share repurchases.”
Since the company was formed, Caterpillar has paid a cash dividend every year and has paid a quarterly dividend since 1933.
Caterpillar has paid higher annual dividends to shareholders for 28 consecutive years.
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