Illinois Tool Works Raises Dividend, Sets New $5 Billion Buyback

By Colin Kellaher

Illinois Tool Works on Friday said its board raised the quarterly dividend by 6.9%, to $1.40, from $1.31, and approved a new buyback program covering up to $5 billion in stock.

The new payout, equal to $5.60 a year, represents an annual yield of about 2.38% based on Thursday's closing price of $250.23, up from 2.09%.

The Glenview, Ill., maker of industrial products and equipment said the increased dividend is payable Oct. 12 to shareholders of record Sept. 29.

Illinois Tool Works, which had about 302.4 million shares outstanding as of June 30 and sports a market capitalization of roughly $76 billion, said it still had about $740 million remaining in a $3 billion buyback announced in May 2021.

Write to Colin Kellaher at [email protected]

(END) Dow Jones Newswires

08-04-23 1238ET