Graphic Packaging hikes dividend by 33.3%
On September 22, 2022, Graphic Packaging Holding Company (GPK) announced a 33.3 percent dividend hike to 10 cents quarterly per share. This is the first dividend hike by GPK since 2016. The dividend is payable on January 5, 2023, to common stockholders of record at the close of business on December 15, 2022.
The Company initiated a dividend program in February 2015 as part of a capital allocation plan that also included a $250 million share repurchase program. The Board of Directors declared one additional dividend increase from the original $0.05 per share quarterly dividend in October 2016.
Michael Doss, the Company's President and CEO said, "Strategic investments and operational execution by our teams has allowed us to continue to meet higher demand for fiber-based consumer packaging. Our low-cost production platform positions us uniquely to capture profitable growth and earn solid returns for stakeholders. With the progress to date achieving our Vision 2025 goals, the Board of Directors has approved a 33% increase to our quarterly dividend. We will continue to execute a balanced approach to capital allocation investing for future growth while returning capital to stockholders."
The provider of paper-based packaging solutions for a wide variety of products to food, beverage and other consumer product companies currently has an estimated dividend yield of 1.9% at a stock price of $20.
Graphic Packaging Holding Company (NYSE: GPK), headquartered in Atlanta, Georgia, is committed to providing consumer packaging that makes a world of difference. The Company is a leading provider of sustainable fiber-based packaging solutions to the world's most widely-recognized food, beverage, foodservice and other consumer products companies and brands. The Company operates on a global basis, is one of the largest producers of folding cartons and fiber-based foodservice products in the United States and Europe, and holds leading market positions in coated recycled paperboard, coated unbleached kraft paperboard and solid bleached sulfate paperboard.
