Newtek Business Services Corp. Declares Third Quarter 2021 Dividend of $0.90 per Share

Rhea-AI Summary

Newtek Business Services Corp (NASDAQ: NEWT) announced a third quarter 2021 cash dividend of $0.90 per share, payable on September 30, 2021 to shareholders of record as of September 20, 2021. This represents a 55.2% increase compared to the $0.58 dividend paid in the third quarter of 2020. For the first three quarters of 2021, total dividends paid amount to $2.10 per share, a 32.9% rise from the same period in 2020. The company aims for future dividends to approximate 90-100% of its annual taxable income.

Positive

• Third quarter 2021 cash dividend of $0.90 per share reflects a strong 55.2% increase from Q3 2020.
• Total dividends for the first three quarters of 2021 reached $2.10 per share, marking a 32.9% increase year-over-year.
• The company maintains a dividend policy aimed at distributing 90-100% of its annual taxable income.

Negative

• None.

Represents a 55.2% Increase over the Third Quarter 2020 Dividend

BOCA RATON, Fla., Aug. 10, 2021 (GLOBE NEWSWIRE) -- Newtek Business Services Corp., (NASDAQ: NEWT), an internally managed business development company (“BDC”), today announced that its Board of Directors declared a third quarter 2021 cash dividend of $0.90¹ per share. The third quarter 2021 dividend is payable on September 30, 2021 to shareholders of record as of September 20, 2021. The payment of the third quarter 2021 dividend would represent a 55.2% increase over the third quarter 2020 dividend of $0.58 per share. With the payment of the third quarter 2021 dividend, the Company will have paid $2.10 per share in dividends for the first three quarters of 2021, which would represent a 32.9% increase over dividends paid for the first three quarters of 2020.

Note regarding Dividend Payments: The Company's Board of Directors expects to maintain a dividend policy with the objective of making quarterly distributions in an amount that approximates 90 - 100% of the Company's annual taxable income. The determination of the tax attributes of the Company's distributions is made annually as of the end of the Company's fiscal year based upon its taxable income for the full year and distributions paid for the full year.

¹Amount and timing of dividends, if any, remain subject to the discretion of the Company’s Board of Directors. Newtek Business Services Corp., Your Business Solutions Company^®, is an internally managed BDC, which along with its controlled portfolio companies, provides a wide range of business and financial solutions under the Newtek^® brand to the small- and medium-sized business (“SMB”) market. Since 1999, Newtek has provided state-of-the-art, cost-efficient products and services and efficient business strategies to SMB relationships across all 50 states to help them grow their sales, control their expenses and reduce their risk.

Newtek’s and its portfolio companies’ products and services include: Business Lending, SBA Lending Solutions, Electronic Payment Processing, Technology Solutions (Cloud Computing, Data Backup, Storage and Retrieval, IT Consulting), eCommerce, Accounts Receivable Financing & Inventory Financing, Insurance Solutions, Web Services, and Payroll and Benefits Solutions.

Newtek^® and Your Business Solutions Company^®, are registered trademarks of Newtek Business Services Corp.

Note Regarding Forward Looking Statements

This press release contains certain forward-looking statements. Words such as “believes,” “intends,” “expects,” “projects,” “anticipates,” “forecasts,” “goal” and “future” or similar expressions are intended to identify forward-looking statements. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the plans, intentions and expectations reflected in or suggested by the forward-looking statements. Such risks and uncertainties include, among others, intensified competition, operating problems and their impact on revenues and profit margins, anticipated future business strategies and financial performance, anticipated future number of customers, business prospects, legislative developments and similar matters. Risk factors, cautionary statements and other conditions, which could cause Newtek’s actual results to differ from management’s current expectations, are contained in Newtek’s filings with the Securities and Exchange Commission and available through http://www.sec.gov/.   Newtek cautions you that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those projected or implied in these statements.

SOURCE: Newtek Business Services Corp.

Investor Relations & Public Relations
Contact: Jayne Cavuoto
Telephone: (212) 273-8179 / jcavuoto@newtekone.com

FAQ

What is the third quarter 2021 dividend amount declared by Newtek (NEWT)?

The declared dividend for the third quarter of 2021 is $0.90 per share.

When is the payment date for Newtek's third quarter 2021 dividend?

The payment date is September 30, 2021.

How does the third quarter 2021 dividend compare to the previous year?

The third quarter 2021 dividend represents a 55.2% increase over the $0.58 dividend declared in Q3 2020.

What total dividends has Newtek paid for the first three quarters of 2021?

Newtek has paid a total of $2.10 per share in dividends for the first three quarters of 2021.

What is Newtek's dividend policy regarding taxable income?

Newtek's Board of Directors aims to maintain a policy that approximates 90-100% of the company's annual taxable income in dividend distributions.