- Savaria Corporation (TSX:SIS), a global leader in the accessibility industry, is declaring a monthly dividend of C$0.0433 per common share
- The dividend, payable on July 5 to shareholders of record as of June 28, 2024, represents an annual payment of C$0.52 per year, which is up by 3.7x from C$0.14 in 2014
- Savaria Corporation provides accessibility solutions for the physically challenged to increase comfort, mobility and independence
- Savaria stock has added 5.29 per cent year-over-year and more than 1,000% since 2013
Savaria Corporation (TSX:SIS), a global leader in the accessibility industry, is declaring a monthly dividend of C$0.0433 per common share.
The dividend, payable on July 5 to shareholders of record as of June 28, 2024, represents an annual payment of C$0.52 per year, which is up by 3.7x from C$0.14 in 2014, entailing a high payout ratio of about 82% that is nevertheless covered by earnings.
Income-oriented investors should seriously consider Savaria for their portfolios because it has backed up dividend increases with profitable growth, leveraging its unmatched comprehensive product offerings across elevators and wheelchair lifts, stairlifts, and patient care-related products such as bed frames and slings.
The company has built a successful acquisition track record going back to 2005 that has enabled it to grow revenue by 27% per year and adjusted earnings per share by 11% per year since 2013, rewarding shareholders with a more than 1,000% return over the period.
This growth includes momentum from recent years, with revenue up by more than 100% from C$374.34 million in 2019 to C$836.95 million in 2023, and net income adding 47% from C$25.75 million in 2019 to C$37.84 million in 2023, generating about a 30% return over the period.
Management expects to surpass C$1 billion in revenue in 2025 supported by 15 production centres across the world, about 1,500 dealers in more than 55 countries, and C$230.6 million in available funds as of Q1 2024 to capitalize on the long-term tailwind in the global disability devices market, which is expected to grow from US$21.24 billion in 2024 to US$27.88 billion in 2029.
Driven by the certainty that none of us are getting any younger, and a clear prioritization of shareholder value, Savaria has proven itself to be worth the wait, as the company pays you to sit back and watch as it transforms blue-sky potential into greater scale.
About Savaria Corporation
Savaria Corporation provides accessibility solutions for the physically challenged to increase comfort, mobility and independence.
Savaria stock (TSX:SIS) is down by 0.73%, trading at C$17.73 per share as of 11:08 am ET. The stock has added 5.29 per cent year-over-year and over 1,000% since 2013.
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(Top photo: Savaria Corp.)