Red Violet's Operational Prowess: A Special Cash Dividend Story

Red Violet, Inc. (NASDAQ: RDVT), a leading analytics and information solutions provider, has announced a special cash dividend of $0.30 per share, reflecting its strong operational performance and robust cash flow generation. This strategic move underscores the company's commitment to delivering value to shareholders while maintaining a balanced approach to growth and capital allocation.

The special dividend, totaling approximately $4.2 million, will be payable on February 14, 2025, to shareholders of record as of January 31, 2025. This announcement comes on the heels of Red Violet's impressive financial results for the third quarter of 2024, which saw revenue increase 20% to a record $19.1 million, producing a record $7.2 million of cash flow from operations.

Red Violet's operational strength can be attributed to its strategic investments in technology, infrastructure, and go-to-market capabilities. These investments have driven long-term competitiveness and sustainability, enabling the company to fund ongoing innovation and market expansion. The company has allocated $15.0 million to share buybacks under its Stock Repurchase Program, demonstrating its dedication to reducing outstanding shares and increasing earnings per share for investors.

Red Violet's disciplined capital allocation strategy balances shareholder returns with strategic growth initiatives. By allocating resources effectively, the company has managed to enhance shareholder returns through consistent share buybacks while maintaining flexibility to invest in strategic growth initiatives and strengthen its competitive position.

Moreover, Red Violet's record cash position enables it to maintain financial resilience and adapt to market changes. The company's ability to generate significant cash flow has allowed it to build its cash position on the balance sheet to record levels, demonstrating its confidence in its long-term potential while enhancing returns through thoughtful capital allocation.



In conclusion, Red Violet's special cash dividend is a testament to the company's operational strength and robust cash flow generation. Its strategic investments in technology, infrastructure, and go-to-market capabilities, coupled with its disciplined capital allocation strategy, have enabled the company to deliver value to shareholders while maintaining a competitive edge in the market. As Red Violet continues to build its cash position and invest in strategic growth initiatives, investors can expect to benefit from ongoing market growth and technological advancements.