The Walt Disney Company (DIS, Financial) has announced a 33% increase in its annual dividend, raising it to $1 per share. This move signifies the success of the revitalization plan initiated two years ago. The dividend will be distributed in two installments of 50 cents each in January and July to shareholders.
CEO Bob Iger expressed confidence in Disney's operational strength and commitment to shareholder returns while continuing to invest in future growth. In the 2024 fiscal year, Disney paid a dividend of 75 cents per share. The company forecasts earnings growth over the next three years, with its streaming TV business posting profits for the second consecutive quarter.
Disney's recent fourth-quarter sales and profits exceeded Wall Street expectations, with earnings per share (excluding certain items) at $1.14, surpassing the expected $1.10. The company anticipates high single-digit adjusted earnings growth in fiscal 2025 and double-digit growth in 2026 and 2027.
