Nike Boosts Dividend 25%
The $1 yearly payout pushes its yield up to 1.2%.
Nike
(NKE) - Get Report
raised its dividend 25% Monday.
Nike, whose CEO Phil Knight announced his resignation last week, will pay a 25-cent quarterly dividend in January to stock of record as of Dec. 31. The old rate was 20 cents. On the basis of its Friday close of $82.50, Nike's common stock now yields about 1.2%.
The increase will send about $9.2 million more out the door every quarter at the sportswear company and brings its full-year payout to around $186 million, or about 20% of the $946 million of net income the company did in the 12 months to May 31, 2004.
"This increase reflects our confidence in our cash-flow generation, solid balance sheet and the overall growth prospects for our business," the company said.
