Applied Materials Increases Cash Dividend by 23.1 Percent and Announces New $10 Billion Share Repurchase Authorization
The Board also approved a new share repurchase authorization enabling Applied to buyback an additional
“The dividend increase, our largest in five years, and the new share repurchase authorization reflect our positive long-term view of the semiconductor market and our confidence in Applied’s outsized growth opportunities driven by our technology leadership, broad portfolio of differentiated products and strong customer engagements,” said
Applied has a long history of returning free cash flow to shareholders. The company initiated its dividend program in 2005, and over the past 10 years, Applied has increased the quarterly dividend paid per share at an 11-percent compound annual growth rate and reduced the number of shares outstanding by nearly 30 percent.
This press release contains forward-looking statements, including those regarding our current view of the semiconductor market, our growth opportunities, our capital deployment strategy, our free cash flow and our ability to increase the dividend at an accelerated rate, and other statements that are not historical facts. These statements and their underlying assumptions are subject to risks and uncertainties and are not guarantees of future performance. Factors that could cause actual results to differ materially from those expressed or implied by such statements include, without limitation: the level of demand for our products, our ability to meet customer demand, and our suppliers' ability to meet our demand requirements; financial, legal and reputational risks, and the risk of loss of intellectual property, resulting from cybersecurity incidents affecting us or our suppliers; global economic, political and industry conditions, including rising inflation and interest rates; the interpretation and implementation of new export regulations and license requirements, and their impact on our ability to export products and provide services to customers and on our results of operations; global trade issues and changes in trade and export license policies; our ability to obtain licenses or authorizations; transportation interruptions and logistics constraints; the effects of regional or global health epidemics, including the severity and duration of COVID-19 and government imposed lockdowns and other measures taken in response; consumer demand for electronic products; the demand for semiconductors; customers’ technology and capacity requirements; the introduction of new and innovative technologies, and the timing of technology transitions; our ability to develop, deliver and support new products and technologies; the concentrated nature of our customer base; acquisitions, investments and divestitures; changes in income tax laws; our ability to expand our current markets, increase market share and develop new markets; market acceptance of existing and newly developed products; our ability to obtain and protect intellectual property rights in key technologies; our ability to achieve the objectives of operational and strategic initiatives, align our resources and cost structure with business conditions, and attract, motivate and retain key employees; the variability of operating expenses and results among products and segments, and our ability to accurately forecast future results, market conditions, customer requirements and business needs; our ability to ensure compliance with applicable law, rules and regulations; and other risks and uncertainties described in our
Source: Applied Materials, Inc.