Franchise Group, Inc. Increases Quarterly Common Stock Dividend by 40%

Rhea-AI Summary

Franchise Group (NASDAQ: FRG) announced a 40% increase in its quarterly cash dividend, raising it to $0.625 per share. This dividend will be paid on or about January 15, 2022, to shareholders recorded as of the close of business on December 31, 2021. The company operates over 3,000 locations across various brands, including Pet Supplies Plus and The Vitamin Shoppe, aiming to enhance cash flow for its investors. Franchise Group continues to expand its portfolio while assuring a sustainable dividend growth strategy.

Positive

• 40% increase in quarterly cash dividend to $0.625 per share.
• Dividend payment scheduled for January 15, 2022, providing immediate income to shareholders.
• Company operates over 3,000 locations, indicating strong market presence and growth potential.

Negative

• None.

DELAWARE, Ohio, Dec. 07, 2021 (GLOBE NEWSWIRE) -- Franchise Group, Inc. (NASDAQ: FRG) (“Franchise Group” or the “Company”) today announced that its Board of Directors approved a 40% increase to its quarterly cash dividend to common stockholders of $0.625 per share. The cash dividend will be paid on or about January 15, 2022 to holders of record of the Company’s common stock on the close of business on December 31, 2021.

About Franchise Group, Inc.
Franchise Group is an owner and 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 Pet Supplies Plus, American Freight, The Vitamin Shoppe, Badcock Home Furniture & more, Buddy’s Home Furnishings and Sylvan Learning. On a combined basis, Franchise Group currently operates over 3,000 locations predominantly located in the U.S. that are either Company-run or operated pursuant to franchising and dealer 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 Annual Report on Form 10-K for the period ended December 26, 2020, 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

FAQ

What is the new dividend amount for Franchise Group (FRG)?

The new dividend amount for Franchise Group is $0.625 per share.

When will the dividend be paid to shareholders of FRG?

The dividend will be paid on or about January 15, 2022.

What is the record date for the dividend payment for FRG?

The record date for the dividend payment is December 31, 2021.

How much was the increase in the quarterly dividend for Franchise Group?

The quarterly dividend was increased by 40%.

How can the dividend increase impact investors of Franchise Group?

The dividend increase enhances income for investors and reflects company confidence in sustained cash flow.