Microsoft Corp. said that its board of directors declared a quarterly dividend of $0.83 per share, representing an 8-cent or 10% increase over the previous quarter’s payout. The dividend will be paid on December 12, 2024, to stockholders who are on record as of November 21, 2024. The ex-dividend date will be November 21, 2024.

The board of directors also approved a new share repurchase program authorizing up to $60 billion in share repurchases.

When a company buys its own shares from the market or from the shareholders, it s called the buyback. The buyback program involves the purchase of outstanding stock shares, reducing the number of shares available in the open market. Companies typically buy back their own shares to boost the value of remaining shares by decreasing their supply.

Companies opt for buyback when they have cash in hand and believe that their shares are undervalued. In the process, as the supply of shares falls, the EPS gets a boost and so does the value for the shareholders, keeping other factors constant.

In addition, the company announced the date for the 2024 Annual Shareholders Meeting, to be held December 10, 2024. Shareholders at the close of business on September 30, 2024, the record date, will be entitled to vote their shares.

This year’s annual shareholders meeting will be held virtually and hosted by Satya Nadella, chairman and chief executive officer; Amy Hood, executive vice president and chief financial officer; Brad Smith, vice chair and president; and Sandra E. Peterson, Microsoft lead independent director.

Microsoft market capitalization is over 3.2 trillion dollars and the share is up by 31% over the last 12-months and 14% YTD. Apple and Microsoft are the only two 3-trillion dollar club companies.

Quarter ended June 30, 2024

Revenue was $64.7 billion and increased 15% (up 16% in constant currency)

Diluted earnings per share was $2.95 and increased 10% (up 11% in constant currency)

Fiscal Year 2024 Results (June 30, 2024)

Revenue was $245.1 billion and increased 16% (up 15% in constant currency)

Operating income was $109.4 billion and increased 24%, and increased 22% non-GAAP (up 21% in constant currency)

Net income was $88.1 billion and increased 22%, and increased 20% non-GAAP

Diluted earnings per share was $11.80 and increased 22%, and increased 20% non-GAAP

Microsoft (Nasdaq: MSFT) creates platforms and tools powered by AI to deliver innovative solutions that meet the evolving needs of customers. The technology company is committed to making AI available broadly and doing so responsibly, with a mission to empower every person and every organization on the planet to achieve more.

Palantir Technologies Inc. (NYSE: PLTR) and Microsoft Corporation (NASDAQ: MSFT) have recently announced a significant advancement in their partnership to bring some of the most sophisticated and secure cloud, AI and analytics capabilities to the U.S. Defense and Intelligence Community.