Apple increased shareholder capital return program to $200 billion
Apple announced that it will increase its shareholder capital return program to $200 billion.
The company raised its dividend by 11 percent to $0.52 per share from $0.47 and its buyback authorization rose to $140 billion from $90 billion.
Apple has already returned over $112 billion to shareholders, including 32 billion in dividends and $80 billion in share repurchases.
The company will continue to borrow money to fund this program. It is cheaper for Apple to borrow money in the U.S. than bring money home from other markets.
“We believe Apple has a bright future ahead, and the unprecedented size of our capital return program reflects that strong confidence,” Apple CEO Tim Cook said in a statement.
“While most of our program will focus on buying back shares, we know that the dividend is very important to many of our investors, so we’re raising it for the third time in less than three years.”
On Monday Apple reported better than expected earnings and revenue. In extended trading hours shares of the company gained about 2%.