THOMASVILLE, Ga. - Flowers Foods , Inc. (NYSE: NYSE:FLO), a major producer of packaged bakery foods, announced today an increase in its quarterly dividend to $0.24 per share, marking a 4.3% rise from the dividend declared in the same quarter the previous year.
This latest dividend, which represents the 87th consecutive quarterly payment by the company, is payable on June 20, 2024, to shareholders on record as of June 6, 2024. The announcement reflects an annualized dividend rate increase to $0.96 per share from $0.92 per share.
Ryals McMullian, chairman and CEO of Flowers Foods, commented on the decision to raise the dividend, stating that it demonstrates the board's confidence in the company's capacity for earnings growth and commitment to shareholder returns. McMullian cited the company's strong balance sheet and solid cash flow generation as foundational to its competitive advantage, facilitating ongoing investments for future growth and enabling the dividend increase.
Flowers Foods, headquartered in Thomasville, Georgia, reported sales of $5.1 billion in 2023 and operates bakeries across the United States. The company is known for brands such as Nature's Own, Dave's Killer Bread, Wonder, Canyon Bakehouse, and Tastykake.
The information in this article is based on a press release statement from Flowers Foods, Inc.
InvestingPro Insights
As Flowers Foods, Inc. (NYSE: FLO) announces its increased quarterly dividend, a reflection of the company's financial health and commitment to shareholder returns, let's delve into some key metrics and insights from InvestingPro that could provide investors with a deeper understanding of the company's current market position.
With a market capitalization of $5.05 billion, Flowers Foods stands as a significant player in the packaged bakery foods industry. The company's adjusted P/E ratio over the last twelve months as of Q1 2024 is 19.49, which could suggest that investors are expecting earnings growth, aligning with the company's own projections. Moreover, the dividend yield as of the 144th day of 2024 is an attractive 3.85%, reinforcing the company's reputation for consistent shareholder returns, a sentiment echoed by the CEO's recent statements.
InvestingPro highlights that Flowers Foods has not only maintained dividend payments for 23 consecutive years but has also raised its dividend for 10 consecutive years. This track record of dividend reliability and growth may be particularly appealing to income-focused investors. Additionally, the company's net income is expected to grow this year, providing further confidence in its financial stability and future prospects.
For investors seeking more in-depth analysis and additional insights, there are 4 more InvestingPro Tips available that could further inform investment decisions. Explore these tips by visiting https://www.investing.com/pro/FLO and use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
It's worth noting that while the company is trading at a high earnings multiple, analysts have revised their earnings upwards for the upcoming period, indicating potential optimism about Flowers Foods' performance. These insights underscore the company's strategic financial management and potential for continued growth, which may be of particular interest to current and prospective shareholders.
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