Otter Tail Corporation Increases Quarterly Dividend

Rhea-AI Summary

Otter Tail Corporation (NASDAQ: OTTR) has announced an increase in its quarterly common stock dividend to $0.4375 per share, raising the annual indicated rate to $1.75, marking a $0.10 increase from 2022. The dividend is scheduled for payment on March 10, 2023, to shareholders of record as of February 14, 2023. This 6.1% increase reflects the Board's confidence in the company's ability to deliver sustainable earnings and cash flows. Otter Tail has paid dividends consistently for 84 years and expects future increases aligned with a long-term growth rate of 5-7%, maintaining a payout ratio of 55-65%%.

Positive

• Quarterly dividend increased to $0.4375 per share.
• Annual dividend raised to $1.75 per share.
• 6.1% increase demonstrates commitment to shareholders.
• 84 years of consecutive dividend payments.
• Future dividend increases anticipated in line with 5-7% long-term earnings growth.

Negative

• None.

FERGUS FALLS, Minn.--(BUSINESS WIRE)-- Otter Tail Corporation (NASDAQ: OTTR) announced today the Board of Directors increased the company’s quarterly common stock dividend to $0.4375 per share. The increase brings the annual indicated dividend rate to $1.75 per share, a $0.10 increase over the 2022 rate. The dividend is payable on March 10, 2023 to shareholders of record on February 14, 2023.

This 6.1 percent increase demonstrates our strong commitment to our shareholders and shows the confidence the board of directors has in our ability to deliver sustainable earnings and cash flows. We expect future dividend increases to be in line with our stated long term earnings growth rate of 5-7% while maintaining a targeted payout ratio in the range of 55 to 65 percent.

This represents the 84th year (337 consecutive quarters) dividends have been paid on common stock.

The corporation will issue a news release announcing year end 2022 financial results on Monday February 13, 2023 and has scheduled an earnings call for February 14, 2023 at 10:00 am CT.

About Otter Tail Corporation: Otter Tail Corporation has interests in diversified operations that include an electric utility and manufacturing businesses. Otter Tail Corporation stock trades on the NASDAQ Global Select Market under the symbol OTTR. The latest investor and corporate information is available at www.ottertail.com. Corporate offices are located in Fergus Falls, Minnesota, and Fargo, North Dakota.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230203005300/en/

Media Contact: Stephanie Hoff, Director of Corporate Communications, (218) 739-8535

Investor Contact: Tyler Nelson, VP of Accounting, (701) 451-3576

Source: Otter Tail Corporation

FAQ

What is the new dividend amount for Otter Tail Corporation (OTTR)?

The new quarterly dividend amount for Otter Tail Corporation is $0.4375 per share.

When is the dividend payment date for OTTR shareholders?

The dividend payment date for OTTR shareholders is March 10, 2023.

What is the annual dividend rate for Otter Tail Corporation (OTTR) in 2023?

The annual dividend rate for Otter Tail Corporation in 2023 is $1.75 per share.

How long has Otter Tail Corporation been paying dividends?

Otter Tail Corporation has been paying dividends for 84 years, with 337 consecutive quarters.

What is Otter Tail Corporation's target payout ratio?

Otter Tail Corporation aims to maintain a targeted payout ratio of 55 to 65 percent.