AGCO hikes dividend by 20.8% and pays $5.00 special dividend

AGCO, Your Agriculture Company, (AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, today announced that its Board of Directors declared a special variable dividend in the amount of $5.00 per share and also increased the quarterly dividend to $0.29 per outstanding share, up $0.05 from $0.24 per outstanding share paid last quarter.

“Our record 2022 and healthy financial outlook for 2023 enable us to accelerate technology-related investments that benefit farmers and continue to return cash to our shareholders,” said Eric Hansotia, AGCO Chairman, President and Chief Executive Officer. “Given our strong financial position, AGCO’s Board of Directors approved our third consecutive special variable dividend of $5.00 per share, which is more than a ten percent increase versus last year’s special variable dividend.”

"Given the structural improvement in our profitability, we have also increased our quarterly dividend by over twenty percent to $0.29 per outstanding share. This increase reflects confidence in our farmer-first strategy and our ongoing ability to generate strong free operating cash flow,” said Damon Audia, AGCO Chief Financial Officer.

The special variable dividend will be payable on June 20, 2023, to shareholders of record at the close of business on May 19, 2023. Payment of the $0.29 quarterly dividend will be made on June 15, 2023, to all stockholders of record as of the close of business on May 15, 2023.

AGCO Corporation is a manufacturer and distributor of agricultural equipment and solutions. AGCO products are sold through five core brands, Challenger, Fendt, GSI, Massey Ferguson and Valtra, supported by Fuse smart farming solutions. The company sells a range of agricultural equipment, including tractors, combines, self-propelled sprayers, hay tools, forage equipment, seeding and tillage equipment, implements, and grain storage and protein production systems. AGCO's segments are North America, South America, Europe/Middle East, and Asia/Pacific/Africa. The company was founded in 1990 and is headquartered in Duluth, Georgia, USA. AGCO has paid a dividend every year since 2013.