USA Mobility Moves to Quarterly Dividend

Shirley Lazo reports in the current Barron's that portfolio holding USA Mobility (USMO/NASDAQ) voted last week to begin paying quarterly dividends:

The payout will be 65 cents a share, and the initial disbursement is slated for late in the fourth quarter. USA Mobility on July 21 paid a special dividend of $3, worth approximately $82 million, on its 27.3 million common shares outstanding. That followed a $1.50 bonus ($41 million) last December. The proposed dividend translates into some $71 million annually to investors.

This follows further down:

USA Mobility became debt-free a year ago after repaying $140 million in bank borrowings used to fund its formation. Cash on hand last June 30 was $109.2 million, versus $42.6 million the same time last year.

A reader reminded me last month that looking at payouts was instrumental in assessing USA Mobility's portfolio performance.

That's true for several other holdings, such as 3i Group (III/LN) and I think BCE Inc. (BCE/NYSE).

You can read my original rationale for owning USA Mobility here.

Comments

[Random_Walker]

Very satisfactory results from USMO. Including dividends its one of the top performers in my portfolio.

[John]

Random Walker: USMO is definitely one reason why I'm considering reporting this blog's results to INCLUDE dividends and payouts. I don't currently. Thanks again for reading.