General Dynamics [GD] on Wednesday said its board has increased the company’s quarterly dividend by nearly 11 percent to 93 cents per share, payable on May 11.
The dividend hike represents the 21st consecutive year that GD has raised the dividend on its common stock. The current quarterly dividend is 84 cents per share.
GD, like other defense companies, expects to be generating more cash this year and in the coming years due to a tax reform bill passed in December that significantly lowers the federal tax rate on corporations. The company said on its fourth quarter earnings call in January that it plans to boost internal investments with the extra cash.