Dividend Information About Resources Connection: Everything You Need To Know Before Its Ex-Dividend Date Aug 29, 2025

Resources Connection, Inc. (RGP) has announced another cash dividend of $0.070 per share, with an ex-dividend date of Aug 29, 2025. The dividend was declared on Jul 30, 2025, and will be paid on Sep 26, 2025. This payout is consistent with the company’s most recent dividend on Jul 21, 2025, which was also $0.070 per share. However, this amount is lower than the average of the last 10 dividend payments, which stands at $0.124 per share. Investors should note that while the dividend appears stable in the short term, its long-term sustainability may be in question given the company’s recent financial performance.

Over the past week, several key developments have highlighted concerns about the company’s financial health. Russell Investments Group Ltd. recently increased its stake in RGP by 13.6% during the first quarter of 2025, signaling confidence in the firm despite its recent losses. Additionally, Poplar Point affiliates disclosed ownership of 1.9 million RGP shares (5.6%) and have reportedly engaged with management on cost-cutting measures and potential divestitures. These actions suggest that the company may be undergoing strategic changes to improve its profitability.

As of late, Resources Connection has been navigating a challenging earnings environment. The firm reported a net loss last year and continues to pay dividends despite being unprofitable. Analysts have raised concerns that the current dividend is not fully supported by the company’s cash flow, with the payout exceeding 115% of free cash flow in the past year. While the company holds a strong net cash position, relying on balance sheet liquidity to fund dividends is not considered a sustainable practice over the long term. Furthermore, the company’s 10-year dividend growth rate has declined by an average of 1.3% annually, indicating a lack of consistent dividend support from earnings.

Looking ahead, the company has outlined a $115 million to $120 million revenue target for Q1 2026, reflecting a strategic pivot toward digital and consulting services. This shift may indicate an effort to stabilize earnings and, in turn, support future dividend payouts. However, with the ex-dividend date of Aug 29, 2025, investors must act before this date to be eligible for the upcoming dividend. Any shares purchased on or after this date will not qualify for the Sep 26, 2025, dividend distribution.