Friday, July 2, 2021

Matson Board Sees Dividend Increase, Approves Share Repurchase

The board of directors for Honolulu-based container shipping and logistics company Matson, Inc. recently announced a third quarter dividend of $0.30 per common share, a 30.4% jump from the previous dividend.

The dividend is scheduled to be paid to shareholders on Sept. 2.

The board has also agreed to a share repurchase program totaling 3 million shares, representing about $190 million of possible repurchases as of June 24, the company announced.

"We are pleased to announce this return of capital to shareholders," said Matt Cox, Matson's Chairman and Chief Executive Officer. “The substantive increase in the dividend and the initiation of a new share buyback program reflects our board's confidence in long-term free cash flow growth.”

Last May, the company kicked off a second expedited ocean service from China to the U.S. West Coast, called the CLX+, to meet the demand of its first China-to-Long Beach service.

“The success of the CLX+ service,” Cox said, “is expected to continue to be a driver in free cash flow growth.”