By Connor Hart
Chicago Rivet & Machine slashed its quarterly dividend to three cents from 10 cents, citing macroeconomic headwinds that are weighing on its performance.
The new payout, equal to 12 cents a year, represents an annual yield of about 0.6% based on Monday's closing price of $18.06.
The Naperville, Ill., company, which manufactures and sells rivets and specialty cold-formed parts, said its board determined that cutting the dividend was necessary given the company's recent operating performance.
The company -- which has attempted to curb operational challenges by adjusting prices, taking on cost-reduction projects and decreasing production -- said macroeconomic challenges are an additional pain point.
"Current macroeconomic headwinds exist that have impacted the company's financial performance in the most recent quarter," it said. In particular, the company noted a significant reduction in demand from its automotive customers.
While the headwinds are considered to be transient, they are expected to persist at least into the new year.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
November 18, 2024 18:42 ET (23:42 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。