Lowe's (NYSE:LOW) capped the week by making its shareholders incrementally richer. On Friday, the retailer's board of directors declared that its next quarterly dividend is going to be $0.60, which is a 9% bump from the previous payout. The new distribution is to be paid on Nov. 4 to stockholders of record as of Oct. 21.
The company is one of the steadiest and most reliable dividend payers in the currently tumultuous retail sector. It has paid a dividend every quarter since it became a publicly traded company in 1961. Additionally, since the beginning of 2010, Lowe's has raised the distribution once every year. During that span of time, it has risen steadily from $0.09 per share to the present level.
At the most recent closing stock price, the new dividend would yield just under 1.5%.
In its press release trumpeting the increase, Lowe's implied that it will maintain the new payout. "This increase reflects our commitment to delivering strong shareholder returns through our disciplined capital allocation program," said CEO Marvin Ellison.
The news comes two days after the company announced a blowout Q2, delivering results that trounced analyst estimates. On the top line, it booked $27.3 billion, which was 13% higher on a year-over-year basis. Non-GAAP (adjusted) per-share earnings, meanwhile, leaped 74% higher to $3.75.
In Ellison's words, Lowe's benefited from "a consumer focus on the home, core repair and maintenance activities, and wallet share shift away from other discretionary spending."
On Friday, Lowe's shares rose by almost 2%, outpacing the gains of the broader stock market.