Armstrong World Cheers Investors With 10% Dividend Hike

Dividend Increase and Shareholder Value - Armstrong World Industries, Inc. (AWI) announced a 10% increase in its quarterly cash dividend, raising it to 30.8 cents per share from 28 cents, to be paid on Nov. 21, 2024 [1] - The company has consistently increased its cash dividend for six consecutive years, enhancing shareholder value through regular payments since December 2018 [1][2] - AWI has returned over $1 billion to investors via dividends and share repurchases from 2016 through 2023, with an authorization to purchase up to $1.7 billion of its outstanding shares through December 2026 [3] Financial Performance - As of the second quarter, AWI had cash and cash equivalents of $73.6 million, an increase from $70.8 million at the end of 2023, while long-term debt rose to $621.5 million from $564.3 million [2] - The company is projected to report earnings of $1.75 per share for the third quarter, reflecting a growth of 9.4% from the previous year's figure of $1.60, with net sales estimated at $385.7 million, indicating an 11.1% increase [5] Digital and Technology Initiatives - AWI's ProjectWorks and Canopy platforms are central to its growth initiatives, with Canopy experiencing a 20% increase in sales year-over-year in Q2 2024, and ProjectWorks seeing a 52% rise in quoted project values in the first half of 2024 [4] - The company is focusing on innovation in energy-efficient and digital solutions, positioning itself well for future growth amid broader market uncertainties [4] Stock Performance - Armstrong World's shares have increased by 40.6% year-to-date, outperforming the Zacks Building Products - Miscellaneous industry, which grew by 21.3% [5]