Galliford Try Holdings (LON:GFRD) Boosts Dividend to £0.115

Galliford Try Holdings, the UK-based construction and housebuilding group, has announced an increase in its dividend to £0.115 per share. This marks a significant rise from the previous dividend of £0.040 per share, reflecting the company's strong financial performance and commitment to returning value to shareholders.

The dividend increase comes as Galliford Try continues to deliver robust earnings growth. In the year ended May 31, 2021, the company reported earnings per share of £0.35, up from £0.27 in the previous year. This earnings growth has contributed to the company's ability to increase its dividend payout.

Galliford Try's dividend payout ratio stands at 20.16%, indicating a sustainable and manageable level of dividend distribution. The company's debt management strategy has also played a crucial role in supporting its dividend growth. Galliford Try has maintained a strong balance sheet, with a net cash position, allowing it to fund its dividend payments while investing in growth opportunities.

Galliford Try's dividend growth rate has been impressive, with a 7-month growth period since 2024. The company has consistently increased its dividend payout, reflecting its strong earnings performance and commitment to shareholder returns.

The company's dividend yield of 3.54% compares favorably to the sector average of 1.639%. This indicates that Galliford Try offers an attractive income opportunity for investors in the industrial goods sector.

In conclusion, Galliford Try Holdings' dividend increase to £0.115 per share reflects the company's strong financial performance and commitment to returning value to shareholders. The company's earnings growth, sustainable dividend payout ratio, and attractive dividend yield position it well for continued success in the industrial goods sector.