CINCINNATI, Sept. 20, 2018 /PRNewswire/ -- The Kroger Co.'s (NYSE: KR) Board of Directors today declared a quarterly dividend of 14¢ per share to be paid on December 1, 2018, to shareholders of record as of the close of business on November 15, 2018.
"Restock Kroger is designed to reposition our core business by 2020 while continuing to deliver for shareholders," said Rodney McMullen, Kroger's chairman and CEO. "We are doing this from a position of strength. Kroger has a proven track record of consistently returning capital to shareholders through an increasing dividend over time and share buyback program."
In June, Kroger's Board raised the quarterly dividend from 50¢ to 56¢ per year. The company's quarterly dividend has grown at a double-digit compound annual growth rate since it was reinstated in 2006. The company continues to expect, subject to board approval, an increasing dividend over time.
Kroger's financial strategy is to use its free cash flow to drive growth while also maintaining its current investment grade debt rating and returning capital to shareholders. The company actively balances the use of its free cash flow to achieve these goals.
This press release contains forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, about the future performance of the company. These statements are based on management's assumptions and beliefs in light of the information currently available to it. Such statements are indicated by the words "expect," "continues," "strategy," and "goals." Our ability to continue to fund dividends and increase our dividend over time will be affected by our ability to generate free cash flow at the levels anticipated and our ability to generate expected operating results. These forward-looking statements are subject to uncertainties and other factors that could cause actual results to differ materially. We assume no obligation to update the information contained herein. Please refer to Kroger's reports and filings with the Securities and Exchange Commission for a further discussion of these risks and uncertainties.
At The Kroger Co. (NYSE: KR), we are dedicated to our Purpose: to Feed the Human Spirit™. We are nearly half a million associates who serve over nine million customers daily through a seamless digital shopping experience and 2,769 retail food stores under a variety of banner names, serving America through food inspiration and uplift, and creating #ZeroHungerZeroWaste communities by 2025. To learn more about us, visit our newsroom and investor relations site.
SOURCE The Kroger Co.