DENVER--(BUSINESS WIRE)-- Newmont Corporation (NYSE: NEM, TSX: NGT) (Newmont or the Company) announced a plan to significantly increase its quarterly dividend by 79 percent to $0.25 per share, or an expected $1.00 per share annually, which will become effective upon approval and declaration of the first quarter dividend in April 2020. The increased sustainable dividend supports an industry leading return profile and aligns with the Company’s disciplined approach to capital allocation, which includes maintaining an investment grade balance sheet, investing in profitable growth and returning cash to shareholders.
In addition to increasing the dividend, the Company plans to continue to execute on its recently announced stock repurchase program for up to $1 billion of common equity. For the quarter ended December 31, 2019, the Company has utilized the repurchase program to retire 12.4 million shares totaling $506 million. Altogether, Newmont returned approximately $1.4 billion to shareholders in 2019.
“We are pleased to announce a planned increase to our annualized dividend by 79 percent to one dollar per share and will continue demonstrating our disciplined approach to capital allocation and the confidence we have in our business to deliver substantial future cash flows and returns for shareholders,” said Tom Palmer, President and Chief Executive Officer. “Our first quarter dividend will offer investors a highly competitive dividend yield and enhanced returns from owning shares of the world’s leading gold company.”
Newmont has the strongest and most sustainable portfolio of operations, projects and exploration prospects in the gold sector. These assets allow the Company to sequence profitable projects in its unmatched pipeline to sustain stable gold production over a decades-long time horizon in top-tier jurisdictions around the globe. Newmont enters its centenary year in May of 2020 and will begin its next century of superior performance, value creation and sustainability leadership on May 2, 2021.
The declaration and payment of future quarterly dividends remains at the discretion of the Board of Directors and will depend on the Company's financial results, cash requirements, future prospects and other factors deemed relevant by the Board.