Microsoft Boosts Dividend by 8 Cents; New Buyback Approved — Update

By Josh Beckerman

Microsoft, which often announces dividend increases in September, said it would raise its quarterly payout by about 11% and it would begin a new stock-buyback program.

The new dividend of 83 cents provides a yield of about 0.77% based on Monday's closing stock price. A year ago, the company said it would increase its payout to 75 cents from 68 cents.

In addition to the dividend increase, the Redmond, Wash., company said its board authorized a new stock-repurchase program of up to $60 billion.

The company reported cash and equivalents of $18.32 billion as of June 30 in its fourth-quarter earnings release on July 30.

Earlier Monday, Microsoft announced enhancements to Microsoft 365 Copilot, including Copilot Pages, which it calls a "dynamic, persistent canvas designed for multiplayer AI collaboration."

It also said it would add Copilot improvements in Microsoft 365 apps and introduced Copilot agents to help automate and execute business processes.

Microsoft has invested heavily in artificial intelligence, including more than $13 billion in funding for ChatGPT-maker OpenAI.

Shares were recently up 0.5% after-hours, to $433.52. The stock closed regular trading about flat, at $431.34, giving the company a market capitalization of about $3.2 trillion.

Write to Josh Beckerman at josh.beckerman@wsj.com

(END) Dow Jones Newswires

September 16, 2024 19:20 ET (23:20 GMT)

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