We have adopted a flexible approach to returning excess capital to shareholders through: (i) our ongoing dividend; and (ii) share buy backs.
In the 2023 first quarter, we paid dividends of $24 million or $0.38 per share. Over the five-year period of 2018 to 2022, we generated cumulative earnings per share of $17.96 and paid total dividends of $7.60 per share, which equated to a payout ratio of 42%. As a result of our strong earnings profile, reduced cash flow volatility and strong capital structure, we have declared an increase in our quarterly dividend to $0.40 per share, payable on June 15, 2023, to shareholders of record at the close of business on May 30, 2023. This represents a 5% increase from the prior dividend and equates to an annualized dividend of $1.60 per share. Going forward, we plan to periodically review our dividend level for potential future modifications, by taking into account the prevailing market conditions, as well as our earnings profile, capital structure and alternative uses of capital.
In August 2022, we initiated a normal course issuer bid to purchase for cancellation up to 3.2 million of our common shares over 12 months, representing 5% of our issued and outstanding shares. To date, we purchased and cancelled 1.0 million shares and have availability for an additional 2.2 million shares.