CHICAGO RIVET & MACHINE CO. DECLARES DIVIDEND
Chicago Rivet & Machine (NYSE American: CVR) has announced a quarterly cash dividend reduction to $0.03 per share from the previous $0.10, payable December 20, 2024, to shareholders of record on December 5, 2024. Despite maintaining a sound financial position, the company cited recent operating performance as the reason for the dividend cut. The company faces significant challenges, particularly reduced demand from automotive customers, expected to continue into 2025. While implementing performance improvement initiatives including price adjustments and operational consolidation, the company is actively pursuing new customer relationships across its markets.
Chicago Rivet & Machine (NYSE American: CVR) ha annunciato una riduzione del dividendo in contante trimestrale a $0,03 per azione rispetto al precedente $0,10, pagabile il 20 dicembre 2024, agli azionisti registrati il 5 dicembre 2024. Nonostante mantenga una solida posizione finanziaria, l'azienda ha citato le recenti performance operative come motivo per la riduzione del dividendo. L'azienda affronta sfide significative, in particolare la diminuzione della domanda da parte dei clienti nel settore automobilistico, che si prevede continuerà anche nel 2025. Pur attuando iniziative di miglioramento delle prestazioni, incluse le modifiche ai prezzi e la consolidazione operativa, l'azienda sta attivamente cercando nuove relazioni con i clienti in tutti i suoi mercati.
Chicago Rivet & Machine (NYSE American: CVR) ha anunciado una reducción del dividendo en efectivo trimestral a $0,03 por acción desde el previo $0,10, que se pagará el 20 de diciembre de 2024 a los accionistas registrados el 5 de diciembre de 2024. A pesar de mantener una sólida posición financiera, la compañía citó el reciente rendimiento operativo como la razón para esta reducción del dividendo. La empresa enfrenta significativos desafíos, particularmente con la disminución de la demanda de clientes en la industria automotriz, que se espera continúe en 2025. Mientras implementa iniciativas de mejora del rendimiento, incluidas ajustes de precios y consolidación operativa, la compañía está buscando activamente nuevas relaciones con clientes en todos sus mercados.
시카고 리벳 & 머신 (NYSE American: CVR)는 분기 현금 배당금을 주당 $0.03로 줄이고, 이전의 $0.10에서 감소했다고 발표했습니다. 이 금액은 2024년 12월 20일에, 2024년 12월 5일 등록된 주주들에게 지급될 예정입니다. 재정적으로 건전한 위치를 유지함에도 불구하고, 회사는 최근 운영 성과를 배당금 인하의 이유로 언급했습니다. 회사는 자동차 고객으로부터의 수요 감소라는 중대한 도전에 직면해 있으며, 이는 2025년까지 계속될 것으로 예상됩니다. 성과 개선을 위한 여러 이니셔티브를 시행하는 동안, 가격 조정과 운영 통합을 포함하여, 회사는 모든 시장에서 새로운 고객 관계를 적극적으로 추구하고 있습니다.
Chicago Rivet & Machine (NYSE American: CVR) a annoncé une réduction de son dividende trimestriel en espèces à 0,03 $ par action, contre 0,10 $ précédemment, payable le 20 décembre 2024 aux actionnaires enregistrés au 5 décembre 2024. Bien que l’entreprise maintienne une position financière solide, elle a cité les récentes performances opérationnelles comme raison de la réduction de ce dividende. L’entreprise fait face à des défis significatifs, notamment une demande réduite de la part de ses clients dans le secteur automobile, qui devrait se poursuivre en 2025. Tout en mettant en œuvre des initiatives d’amélioration des performances, y compris des ajustements de prix et une consolidation opérationnelle, l’entreprise recherche activement de nouvelles relations avec des clients dans tous ses marchés.
Chicago Rivet & Machine (NYSE American: CVR) hat eine Reduzierung der vierteljährlichen Bardividende auf 0,03 $ pro Aktie von zuvor 0,10 $ bekannt gegeben, zahlbar am 20. Dezember 2024 an Aktionäre, die am 5. Dezember 2024 registriert sind. Trotz einer soliden finanziellen Position gab das Unternehmen die kürzliche operative Leistung als Grund für die Dividendenkürzung an. Das Unternehmen steht vor erheblichen Herausforderungen, insbesondere mit der verringerten Nachfrage von Automobilkunden, die voraussichtlich bis 2025 anhalten wird. Während es Leistungsverbesserungsinitiativen implementiert, einschließlich Preisänderungen und operativer Konsolidierung, strebt das Unternehmen aktiv neue Kundenbeziehungen in seinen Märkten an.
- Implementation of performance improvement initiatives showing year-over-year improvement
- Operational cost reduction through consolidation of Albia facility into Tyrone operation
- Sound overall financial position maintained
- 70% reduction in quarterly dividend from $0.10 to $0.03 per share
- Significant decrease in demand from automotive customers
- Operating performance challenges expected to persist into 2025
The Company stated that while its financial position remains sound, the Board of Directors determined that the reduction in the dividend was prudent given the Company's recent operating performance. As previously disclosed, the Company has been implementing multiple initiatives to improve performance that have led to year-over-year performance improvement. These include price adjustments with our customers and cost reduction projects, including the previously disclosed consolidation of the Albia,
Notwithstanding, current macroeconomic headwinds exist that have impacted the Company's financial performance in the most recent quarter, in particular, a significant reduction in demand from the Company's automotive customers. While the Company believes this to be transient, it is expected to persist into 2025, and the Company is diligently pursuing strategies to develop new customer relationships and build on existing relationships in all of the markets served.
With respect to the payment of future dividends, the Board of Directors will continue to consider the Company's current profitability, the outlook for long-term profitability, known and potential cash requirements, and the overall financial condition of the Company, and any dividend declared will be solely at the discretion of the Board of Directors.
For further information, please contact Investor Relations at (630) 357-8500.
Forward-Looking Statements
This discussion contains certain "forward-looking statements" which are inherently subject to risks and uncertainties that may cause actual events to differ materially from those discussed herein. Factors which may cause such differences in events include, those disclosed under "Risk Factors" in our Annual Report on Form 10-K and in the other filings we make with the United States Securities and Exchange Commission. These factors, include among other things: conditions in the domestic automotive industry upon which we rely for sales revenue, the intense competition in our markets, the concentration of our sales with major customers, risks related to export sales, the price and availability of raw materials, supply chain disruptions, labor relations issues, losses related to product liability, warranty and recall claims, costs relating to environmental laws and regulations, information systems disruptions, the loss of the services of our key employees and difficulties in achieving cost savings. Many of these factors are beyond our ability to control or predict. Readers are cautioned not to place undue reliance on these forward-looking statements. We undertake no obligation to publish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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SOURCE Chicago Rivet & Machine Co.
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