First Capital, Inc. Announces Quarterly Dividend

Rhea-AI Summary

First Capital, Inc. (NASDAQ: FCAP) announces a quarterly cash dividend of $0.27 per share of common stock. The dividend will be paid on March 29, 2024, to shareholders of record as of March 15, 2024. First Capital is the holding company for First Harrison Bank, with multiple offices in Indiana and Kentucky.

Insights

Financial Analyst

The announcement of First Capital, Inc.'s quarterly cash dividend of $0.27 per share is a tangible return to shareholders and reflects the company's current financial health and management's confidence in its ability to generate consistent cash flows. It's noteworthy that dividends are often a sign of a company's stability and maturity, as they provide investors with a regular income stream.

From a financial perspective, the declared dividend could indicate First Capital's operational efficiency and sound financial management. It would be important for investors to consider the dividend yield, which is the dividend per share divided by the stock price. This yield is compared against industry benchmarks and historical performance to assess attractiveness. Additionally, the payout ratio, or the proportion of earnings paid out as dividends, should be evaluated to ensure the dividends are sustainable and do not compromise the company's growth potential or financial stability.

Market Research Analyst

First Capital's dividend payment can also be seen as a strategic move to maintain investor interest and potentially attract new shareholders. In the broader banking sector, dividends can serve as a competitive differentiator, especially in a low-interest-rate environment where investors may seek out stocks with higher yields. The geographical expansion of First Harrison Bank, as indicated by the presence of multiple offices, may suggest a growth strategy that could reassure investors about the potential for future earnings and dividend increases.

However, it is essential to contextualize this dividend announcement within the performance of the regional banking sector and broader economic indicators such as interest rate trends and regional economic growth. These factors can significantly influence the bank's profitability and, consequently, its ability to maintain or increase dividend payments in the future.

CORYDON, Ind., Feb. 21, 2024 (GLOBE NEWSWIRE) -- The Board of Directors of First Capital, Inc. (NASDAQ: FCAP) has declared a quarterly cash dividend of $0.27 (twenty-seven cents) per share of common stock, according to Michael C. Frederick, President and Chief Executive Officer. The dividend will be paid on March 29, 2024 to shareholders of record as of March 15, 2024.

First Capital, Inc. is the holding company for First Harrison Bank. First Harrison currently has eighteen offices in the Indiana communities of Corydon, Edwardsville, Greenville, Floyds Knobs, Palmyra, New Albany, New Salisbury, Jeffersonville, Salem, Lanesville and Charlestown and the Kentucky communities of Shepherdsville, Mt. Washington and Lebanon Junction. Access to First Harrison Bank accounts, including online banking and electronic bill payments, is available anywhere with Internet access through the Bank’s website at www.firstharrison.com. For more information and financial data about First Capital, Inc., please visit Investor Relations at First Harrison Bank’s aforementioned website.

Contact:
Joshua Stevens
Chief Financial Officer
812-738-1570

FAQ

What is the dividend amount declared by First Capital, Inc. (FCAP)?

First Capital, Inc. (FCAP) declared a quarterly cash dividend of $0.27 per share of common stock.

When will the dividend be paid to First Capital, Inc. (FCAP) shareholders?

The dividend will be paid on March 29, 2024, to shareholders of record as of March 15, 2024.

What is the business relationship between First Capital, Inc. (FCAP) and First Harrison Bank?

First Capital, Inc. (FCAP) is the holding company for First Harrison Bank.

How many offices does First Harrison Bank have and in which states are they located?

First Harrison Bank currently has eighteen offices in Indiana and Kentucky.

Where can shareholders access First Harrison Bank accounts and services?

Shareholders can access First Harrison Bank accounts, including online banking and electronic bill payments, through the Bank's website at www.firstharrison.com.