Nutrien Boosts Dividend and Launches Share Repurchase Program

Nutrien Ltd. (TSX and NYSE: NTR), a leading global provider of crop inputs and services, has announced an increase in its quarterly dividend and the launch of a new share repurchase program. The company's Board of Directors declared a quarterly dividend of US$0.545 per share, payable on April 10, 2025, to shareholders of record on March 31, 2025. This represents an approximately one percent increase from the prior dividend declared on November 6, 2024, and equates to an annualized dividend of US$2.18 per share.

In addition to the dividend increase, Nutrien's Board approved the purchase of up to five percent of its issued and outstanding common shares over a twelve-month period through a normal course issuer bid (NCIB). The company aims to repurchase up to 24,728,159 of its outstanding common shares pursuant to the NCIB, subject to acceptance by the Toronto Stock Exchange of Nutrien's notice to commence a NCIB. The NCIB will be effected in accordance with the TSX normal course issuer bid rules and/or Rule 10b-18 under the U.S. Securities Exchange Act of 1934, as amended.

Nutrien's decision to increase its dividend and launch a share repurchase program reflects the company's strong financial position and commitment to returning capital to shareholders. The dividend increase demonstrates Nutrien's confidence in its ability to generate cash flows and distribute earnings to shareholders. The share repurchase program, on the other hand, signals the company's belief that its shares are undervalued and represents an opportunity to invest in its own stock.

The global fertilizer market has been facing challenges in recent years, with lower prices and volatility. However, Nutrien's decision to increase its dividend and launch a share repurchase program indicates that the company is well-positioned to navigate these challenges and capitalize on long-term growth opportunities. The company's expectation of increased planted acres and healthy farm income should drive demand for fertilizers, supporting Nutrien's financial performance and shareholder value.

Nutrien's share repurchase program is subject to acceptance by the Toronto Stock Exchange and may be subject to certain exceptions for block purchases. The company has entered into an automatic purchase plan with a broker, which will enable Nutrien to provide standard instructions and purchase common shares on the open market during self-imposed blackout periods. Outside of these black-out periods, common shares may be purchased in accordance with management's discretion.

In conclusion, Nutrien's decision to increase its quarterly dividend and launch a share repurchase program demonstrates the company's commitment to returning capital to shareholders and maintaining a strong financial position. The global fertilizer market's challenges notwithstanding, Nutrien's strategic moves position the company to capitalize on long-term growth opportunities and create value for shareholders.