Ford Motor Co. (F) has announced that it will issue a special dividend payment to stockholders after posting strong fourth-quarter earnings.
The Detroit automaker said that it will pay a special dividend of $0.18 U.S. per share in addition to its first-quarter regular dividend payment of $0.15 U.S. a share.
Both dividends are payable on March 1 to shareholders of record as of Feb. 16, said Ford. The dividend yield on Ford’s stock is currently right around 5%.
The special dividend was announced alongside better-than-expected Q4 2023 financial results.
Ford announced earnings per share (EPS) of $0.29 U.S. versus $0.14 U.S. that had been expected among analysts.
Revenue in the quarter came in at $43.20 billion U.S. compared to $40.12 billion U.S. that was estimated on Wall Street. Revenue increased 4% from a year earlier.
Despite the Q4 earnings beat and special dividend payment, analysts say Ford is likely to face headwinds this year, including lower vehicle prices, warranty costs, and continued losses on its electric vehicles.
Ford’s stock is up 6% on news of its earnings and dividend. Before today (Feb. 7), Ford’s stock had declined 10% over the last year to trade at $12.07 U.S. per share.
