Mfarhanonline Social Media News: Ahead of the today’s call , Apple has announced it plans to initiate a quarterly dividend of $2.65 per share sometime in the fourth quarter of its fiscal 2012, which starts July 1, 2012. Furthermore, the company will start a $10 billion share repurchasing program, starting in Apple’s fiscal 2013, which starts on September 30, 2012. This means Apple will spend approximately $45 billion of its cash reserves on dividends and share buyback in the first three years of these new programs. "We have used some of our cash to make great investments in our business through increased research and development, acquisitions, new retail store openings, strategic prepayments and capital expenditures in our supply chain, and building out our infrastructure. You'll see more of all of these in the future," said Tim Cook, Apple's CEO. "Even with these investments, we can maintain a war chest for strategic opportunities and have plenty of cash to run our business. So we are going to initiate a dividend and share repurchase program," said Cook. One mustn’t forget that Apple has a very good cash flow. In the next three years, the company’s treasure chest might increase significantly beyond the current $97 billion. Apple has obviously decided that it now has sufficient cash for potential acquisitions and all other expenditures, and it can still afford to buy some shares back and pay out a dividend – a move which will likely put a smile on shareholders’ faces. What do you think: Is this a good move for Apple? Would you rather see Apple spend the cash on (major) acquisitions? Share your opinions in the comments. More About: apple , dividend , share buyback , trending For more Business coverage: Follow Mfarhanonline Business on Twitter Become a Fan on Facebook Subscribe to the Business channel Download our! free ap ps for Android , Mac , iPhone and iPad Social Media reviews series maintain by Mayya
0 comments :
Post a Comment