Huntsman Announces 5% Increase in First Quarter 2024 Common Dividend and 2024 Annual Meeting of Stockholders

Rhea-AI Summary

Huntsman Corporation (HUN) raises its cash dividend by 5% to $0.25 per share and schedules its 2024 Annual Meeting of Stockholders in a virtual format. The dividend will be payable on March 29, 2024, to stockholders of record as of March 15, 2024.

Insights

Financial Analyst

The increase in dividend payout by Huntsman Corporation is a tangible indicator of the company's financial health and its confidence in maintaining or potentially increasing its cash flows. A 5% hike in dividends can be seen as a positive signal to investors, reflecting both the company's commitment to returning value to shareholders and its stable earnings outlook. Shareholders might view this as a reinforcement of the stock's attractiveness, especially for income-focused investors.

However, it is crucial to assess this move in the context of the company's payout ratio, capital expenditure plans and overall balance sheet strength. An optimal dividend policy should balance between rewarding shareholders and retaining enough capital to fund future growth. If the payout ratio remains within a sustainable range post-increase, it suggests a prudent financial strategy. Conversely, if this hike leads to a significantly high payout ratio, it could raise concerns about long-term sustainability, especially if the company faces capital-intensive projects ahead.

Market Research Analyst

From a market perspective, the announcement of an increased dividend by Huntsman Corporation may lead to a favorable reaction in the stock market, as it may be interpreted as a sign of stable future earnings. Dividend increases are often used by companies to signal financial robustness to the market. This can have a positive effect on the stock price, as it attracts both current and potential investors looking for reliable dividend income.

It is also important to consider the industry benchmark when evaluating the significance of this dividend increase. If Huntsman Corporation's dividend growth is in line with or exceeds industry averages, it could indicate competitive strength and possibly lead to a re-rating of the stock by analysts. Conversely, if the dividend growth is below par, it might suggest that the company is lagging behind its peers, potentially impacting investor sentiment.

THE WOODLANDS, Texas, Feb. 21, 2024 /PRNewswire/ -- Huntsman Corporation (NYSE: HUN) announced today that its Board of Directors has declared a $0.25 per share cash dividend on its common stock. This represents an approximate 5% increase from the previous dividend. The dividend is payable on March 29, 2024 to stockholders of record as of March 15, 2024.

Huntsman Corporation also announced it will hold its 2024 Annual Meeting of Stockholders in virtual meeting format only at 9:00 a.m. Central Time on Thursday, May 2, 2024. Holders of record as of the close of business on March 7, 2024 will be entitled to vote at the meeting.

About Huntsman:
Huntsman Corporation is a publicly traded global manufacturer and marketer of differentiated and specialty chemicals with 2023 revenues of approximately $6 billion. Our chemical products number in the thousands and are sold worldwide to manufacturers serving a broad and diverse range of consumer and industrial end markets. We operate more than 60 manufacturing, R&D and operations facilities in approximately 25 countries and employ approximately 6,000 associates within our continuing operations. For more information about Huntsman, please visit the company's website at www.huntsman.com.

Social Media:
Twitter: www.twitter.com/Huntsman_Corp
Facebook: www.facebook.com/huntsmancorp
LinkedIn: www.linkedin.com/company/huntsman

Forward-Looking Statements: 
Certain information in this release constitutes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on management's current beliefs and expectations. The forward-looking statements in this release are subject to uncertainty and changes in circumstances and involve risks and uncertainties that may affect the company's operations, markets, products, services, prices and other factors as discussed under the caption "Risk Factors" in the Huntsman companies' filings with the U.S. Securities and Exchange Commission. Significant risks and uncertainties may relate to, but are not limited to, volatile global economic conditions, cyclical and volatile product markets, disruptions in production at manufacturing facilities, reorganization or restructuring of Huntsman's operations, including any delay of, or other negative developments affecting the ability to implement cost reductions, timing of proposed transactions, and manufacturing optimization improvements in Huntsman businesses and realize anticipated cost savings, and other financial, economic, competitive, environmental, political, legal, regulatory and technological factors. The company assumes no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by applicable laws.

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SOURCE Huntsman Corporation

FAQ

What is the new cash dividend per share declared by Huntsman Corporation (HUN)?

Huntsman Corporation (HUN) has declared a $0.25 per share cash dividend, representing a 5% increase from the previous dividend.

When will the cash dividend be payable to stockholders of Huntsman Corporation (HUN)?

The cash dividend declared by Huntsman Corporation (HUN) will be payable on March 29, 2024, to stockholders of record as of March 15, 2024.

When is the 2024 Annual Meeting of Stockholders of Huntsman Corporation (HUN) scheduled?

The 2024 Annual Meeting of Stockholders of Huntsman Corporation (HUN) is scheduled to be held in a virtual meeting format at 9:00 a.m. Central Time on Thursday, May 2, 2024.

Who will be entitled to vote at the 2024 Annual Meeting of Stockholders of Huntsman Corporation (HUN)?

Holders of record as of the close of business on March 7, 2024, will be entitled to vote at the 2024 Annual Meeting of Stockholders of Huntsman Corporation (HUN).