Franchise Group, Inc. Announces Approval of Quarterly Common Stock Dividend
Franchise Group announced a 50% increase in its quarterly dividend, now set at $0.375 per share. This change reflects the company's strong cash flow and positive momentum heading into 2021. The dividend will be paid to shareholders on or about January 8, 2021, with a record date of December 24, 2020. CEO Brian Kahn emphasized the company's aim to distribute 25% of Adjusted EBITDA to shareholders. Franchise Group operates over 4,000 locations across various brands, demonstrating a robust operational footprint.
- 50% increase in quarterly dividend to $0.375 per share.
- Strong free cash flow and positive market momentum heading into 2021.
- Goal to distribute 25% of Adjusted EBITDA in dividends to shareholders.
- Operational presence of over 4,000 locations across diverse brands.
- None.
· Increases Dividend by
· January 8, 2021 to shareholders of record as of December 24, 2020
ORLANDO, Fla., Dec. 03, 2020 (GLOBE NEWSWIRE) -- Franchise Group, Inc. (NASDAQ: FRG) (“Franchise Group” or the “Company”) today announced that its Board of Directors approved a quarterly dividend to common stockholders of
Brian Kahn, CEO of Franchise Group commented, “Our businesses have continued to generate strong free cash flow and have positive momentum heading into 2021. This increase in dividend moves us closer to our long-term goal of distributing
The cash dividend will be paid on or about January 8, 2021 to holders of record of the Company’s common stock on the close of business on December 24, 2020.
About Franchise Group, Inc.
Franchise Group is an operator of franchised and franchisable businesses that continually looks to grow its portfolio of brands while utilizing its operating and capital allocation philosophy to generate strong cash flow for its shareholders. Franchise Group’s business lines include Liberty Tax Service, Buddy’s Home Furnishings, American Freight and The Vitamin Shoppe. On a combined basis, Franchise Group currently operates over 4,000 locations predominantly located in the U.S. and Canada that are either Company-run or operated pursuant to franchising agreements.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, projections, predictions, expectations, or beliefs about future events or results and are not statements of historical fact, including the Company’s expectations regarding the continued increase to the dividend and payments of dividends in the future. Such forward-looking statements are based on various assumptions as of the time they are made, and are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are often accompanied by words that convey projected future events or outcomes such as “expect,” “believe,” “estimate,” “plan,” “project,” “anticipate,” “intend,” “will,” “may,” “view,” “opportunity,” “potential,” or words of similar meaning or other statements concerning opinions or judgment of the Company or its management about future events. Although the Company believes that its expectations with respect to forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance, or achievements of the Company will not differ materially from any projected future results, performance or achievements expressed or implied by such forward-looking statements. Actual future results, performance or achievements may differ materially from historical results or those anticipated depending on a variety of factors, many of which are beyond the control of the Company. We refer you to the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s Transition Report on Form 10-K/T for the transition period ended December 28, 2019, and comparable sections of the Company’s Quarterly Reports on Form 10-Q and other filings, which have been filed with the SEC and are available on the SEC’s website at www.sec.gov. All of the forward-looking statements made in this press release are expressly qualified by the cautionary statements contained or referred to herein. The actual results or developments anticipated may not be realized or, even if substantially realized, they may not have the expected consequences to or effects on the Company or its business or operations. Readers are cautioned not to rely on the forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made and the Company does not undertake any obligation to update, revise or clarify these forward-looking statements, whether as a result of new information, future events or otherwise.
INVESTOR RELATIONS CONTACT:
Andrew F. Kaminsky
EVP & Chief Administrative Officer
Franchise Group, Inc.
akaminsky@franchisegrp.com
(914) 939-5161
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