UGI Declares Common Dividend

Rhea-AI Summary

UGI Corporation (NYSE: UGI) has declared a quarterly dividend of $0.375 per share of the Company’s common stock, payable on April 1, 2024. The Board of Directors also declared a quarterly dividend of 0.125% per annum, payable in cash, on the Company’s convertible preferred stock. UGI has a strong track record of paying common dividends for 139 consecutive years and raising its dividend in each of the last 36 years.

Positive

• UGI has a long history of paying common dividends, with 139 consecutive years of payouts
• The company has consistently raised its dividend for the last 36 years

Negative

• None.

Insights

Financial Analyst

The declaration of a quarterly dividend of $0.375 per share by UGI Corporation is a testament to the company's financial health and commitment to shareholder returns. The consistency of dividend payments, extending over 139 years and the fact that they have increased for the last 36 years, are indicators of a stable financial performance and a potentially conservative financial policy. Dividends are often seen as a sign of a company's ability to generate cash and a proxy for its financial stability.

Investors typically view such announcements as a positive signal, reinforcing trust in the company's management and its future prospects. However, it is important to consider the dividend yield and compare it with industry averages to assess the attractiveness of the dividend in relation to the company's stock price. Furthermore, the impact of this dividend payment on the company's cash reserves and its ability to invest in growth opportunities should also be evaluated to understand the long-term strategic implications.

Market Research Analyst

From a market perspective, UGI Corporation's dividend announcement may influence the stock's attractiveness to income-focused investors. The reliability of dividend payments can make the stock a more desirable component of income portfolios, particularly in a volatile market environment. Additionally, the announcement of dividends on convertible preferred stock adds another layer of complexity, as these financial instruments can be converted into a predetermined number of common shares, potentially diluting current shareholders but also providing capital flexibility to the company.

Understanding the terms of the convertible preferred stock, such as the conversion ratio and the impact of the dividend on the conversion price, is crucial for investors. This could affect the demand for both the common and preferred shares and should be analyzed in the context of the overall market conditions and investor sentiment towards the sector.

VALLEY FORGE, Pa.--(BUSINESS WIRE)-- The Board of Directors of UGI Corporation (NYSE: UGI) has declared a quarterly dividend of $0.375 per share of the Company’s common stock. The dividend is payable April 1, 2024, to shareholders of record as of March 15, 2024. UGI has paid common dividends for 139 consecutive years and raised its dividend in each of the last 36 years.

UGI’s Board of Directors also declared a quarterly dividend of 0.125% per annum, payable in cash, on the Company’s convertible preferred stock. The dividend is payable March 1, 2024.

About UGI

UGI Corporation (NYSE: UGI) is a distributor and marketer of energy products and services in the US and Europe. UGI offers safe, reliable, affordable, and sustainable energy solutions to customers through its subsidiaries, which provide natural gas transmission and distribution, electric generation and distribution, midstream services, propane distribution, renewable natural gas generation, distribution and marketing, and energy marketing services.

Comprehensive information about UGI Corporation is available on the Internet at https://www.ugicorp.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240131136321/en/

INVESTOR RELATIONS

610-337-1000

Tameka Morris, ext. 6297

Arnab Mukherjee, ext. 7498

Source: UGI Corporation

FAQ

What is the quarterly dividend declared by UGI Corporation for its common stock?

UGI Corporation has declared a quarterly dividend of $0.375 per share of its common stock, payable on April 1, 2024.

When will the quarterly dividend for UGI Corporation's convertible preferred stock be payable?

The quarterly dividend of 0.125% per annum, payable in cash, on the Company’s convertible preferred stock will be payable on March 1, 2024.

How many consecutive years has UGI Corporation paid common dividends?

UGI Corporation has paid common dividends for 139 consecutive years.

How many years has UGI Corporation raised its dividend?

UGI Corporation has raised its dividend in each of the last 36 years.