Business
Hurco Companies, Inc. Announces Suspension of Quarterly Cash Dividend
INDIANAPOLIS, June 14, 2024 (GLOBE NEWSWIRE) -- Hurco Companies, Inc. (Nasdaq Global Select Market: HURC) (“Hurco” or the “Company”), an international
About this update from Hurco Companies, Inc.
[{"type":"text","content":"INDIANAPOLIS, June 14, 2024 (GLOBE NEWSWIRE) -- Hurco Companies, Inc. (Nasdaq Global Select Market: HURC) (“Hurco” or the “Company”), an international industrial technology company, announced today that its Board of Directors (the “Board”) elected to temporarily suspend the Company’s regular quarterly cash dividend on its common stock, effective immediately. The decision comes as the Company seeks to enhance its financial flexibility and improve its ability to manage market volatility while focusing on strengthening its balance sheet, reinvesting in the Company’s core business and research and development related to emerging technologies, and returning value to shareholders via the appropriate channels in both the near and long-term. “While it was a difficult decision, we believe that temporarily suspending the quarterly cash dividend on Hurco’s common stock will provide near-term benefits to our cash flow management while also allowing us to enhance our balance sheet and more optimally allocate available capital among various strategies. We remain dedicated to furthering our shareholders’ interests, including, when appropriate, distributing a meaningful portion of available cash through dividends on our common stock during periods of profitability and opportunistically executing our share repurchase programs, particularly in periods when we believe our share price is significantly undervalued,” said Greg Volovic, Hurco’s President and Chief Executive Officer. Previously during Hurco’s current fiscal year ending October 31, 2024, the Company paid two quarterly cash dividends of $0.16 per share on its common stock – one on April 12, 2024, to shareholders of record as of close of business on March 29, 2024, and one on January 16, 2024, to shareholders of record as of close of business on January 2, 2024. The Board intends to closely monitor market conditions and the Company’s cash flows, and will continue to evaluate potential future cash dividends, but there can be no assurance that the Company will resume the payment of cash dividends. Any future declarations of dividends on Hurco’s common stock are subject to the discretion and approval of the Board and depend upon many factors, including the Company’s results of operations, financial condition, capital requirements, regulatory and contractual restrictions, business strategy an...