HanesBrands Inc.’s board has approved an increase in the quarterly cash dividend and a 4-for-1 stock split.
The cash dividend was raised to 40 cents a share from 30 cents, representing a 33 percent increase. It represents the second cash dividend increase in two years.
The cash dividend, based on a pre-stock split basis, and the 4-for-1 stock split, in which shareholders of record as of Feb. 9, 2015 will be granted three shares for every one share they hold, will both be payable on Mar. 3, 2015.
In connection with the stock split and cash dividend, the board also approved an amendment to its charter authorizing the increase of authorized shares of common stock to 2 billion from 500 million.
Richard A. Noll, chairman and chief executive officer, said the decision to raise the dividend and split the stock is a “reflection of the company’s continued strong financial performance and stock price appreciation.”
The New York Stock Exchange is expected to begin reporting the split-adjusted per-share stock price on March 4, 2015.