FIS® (NYSE: FIS), a global leader in financial services technology, announced that its Board of Directors approved a share repurchase program under which it authorized the Company to repurchase up to 100 million shares of its Class A common stock, and its Board simultaneously approved an 11% increase in the Company’s quarterly dividend to $0.39 per share from $0.35 per share previously.
“We believe that FIS shares are trading well below intrinsic value and that repurchasing shares of FIS is a good use of capital at this time. Our strong business fundamentals and robust free cash flow enable us to continue investing for growth, both organically and through M&A, while continuing to pay down debt to meet our leverage target and return capital to our shareholders,” said Gary Norcross, FIS chairman, president and chief executive officer. “The Board’s decision to approve a new share repurchase program in conjunction with an increase in our quarterly dividend reflects continued confidence in the strength of our financial position, the durability of our business model and the future of FIS.”
Repurchases may be made at management’s discretion from time to time on the open market, through privately negotiated transactions and through Rule 10b5-1 plans. The repurchase program has no time limit and may be suspended for periods, amended or discontinued at any time. Any shares acquired will be available for general corporate purposes.
The next quarterly dividend is payable on March 26, 2021, to shareholders of record as of close of business on March 12, 2021.
FIS is a leading provider of technology solutions for merchants, banks and capital markets firms globally. Our employees are dedicated to advancing the way the world pays, banks and invests by applying our scale, deep expertise and data-driven insights. We help our clients use technology in innovative ways to solve business-critical challenges and deliver superior experiences for their customers. Headquartered in Jacksonville, Florida, FIS is a Fortune 500® company and is a member of Standard & Poor’s 500® Index. To learn more, visit www.fisglobal.com. Follow FIS on Facebook, LinkedIn and Twitter (@FISGlobal).
Statement Regarding Forward-Looking Information
The statements contained in this release that are not purely historical are forward-looking statements within the meaning of the U.S. federal securities laws. Statements that are not historical facts, including statements about anticipated financial outcomes, expected dividends and share repurchases, as well as other statements about our expectations, beliefs, intentions, or strategies regarding the future, or other characterizations of future events or circumstances, are forward-looking statements. These statements relate to future events and our future results and involve a number of risks and uncertainties. Actual results, performance or achievement could differ materially from those contained in these forward-looking statements. Forward-looking statements are based on management's beliefs as well as assumptions made by, and information currently available to, management. The risks and uncertainties to which forward-looking statements are subject include, without limitation, changes in price and volume and the volatility of the Company’s common stock, adverse impacts on the Company’s common stock due to the COVID-19 pandemic, adverse developments affecting either or both of prices and trading of exchange-traded securities, unexpected or otherwise unplanned or alternative requirements with respect to the capital investments of the Company, changes in general economic, business and political conditions, and other risks detailed in the “Statement Regarding Forward-Looking Information,” “Risk Factors” and other sections of the Company’s Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. Except as required by applicable law or regulation, we do not undertake (and expressly disclaim) any obligation and do not intend to publicly update or review any of our forward-looking statements, whether as a result of new information, future events or otherwise.
Senior Vice President
FIS Global Marketing and Corporate Communications