NAPERVILLE, Ill., Aug. 21, 2023 /PRNewswire/ — Chicago Rivet & Machine Co. (NYSE American: CVR) today announced that its Board of Directors declared a quarterly cash dividend of $0.10 per share payable September 20, 2023 to all shareholders of record on September 5, 2023. This is a $0.12 per share reduction from the $0.22 per share quarterly cash dividend that the Company has declared and paid in recent quarters.
The Company stated that while its financial condition remains sound, the Board of Directors determined that the reduction in the dividend was prudent given the Company’s recent operating performance. As previously disclosed, the Company is working on implementing initiatives to improve performance. In particular, the Company is reviewing and seeking to adjust pricing in light of higher operating costs related to the current economic and labor market environment and has made investments in equipment to improve operating efficiency. The Company also intends to invest in strategic human resources to help lead efforts to improve the Company’s performance. In addition, the Company will pursue opportunities to develop new customer relationships and build on existing ones in all markets served.
With respect to the payment of future dividends, the Board of Directors will continue to consider the Company’s current profitability, the outlook for long-term profitability, known and potential cash requirements and the overall financial condition of the Company.
For further information please contact Investor Relations at (630) 357-8500.
Forward-Looking Statements
This discussion contains certain “forward-looking statements” which are inherently subject to risks and uncertainties that may cause actual events to differ materially from those discussed herein. Factors which may cause such differences in events include, those disclosed under “Risk Factors” in our Annual Report on Form 10-K and in the other filings we make with the United States Securities and Exchange Commission. These factors, include among other things: risk related to the COVID-19 pandemic and its related adverse effects, conditions in the domestic automotive industry, upon which we rely for sales revenue, the intense competition in our markets, the concentration of our sales with major customers, risks related to export sales, the price and availability of raw materials, supply chain disruptions, labor relations issues, losses related to product liability, warranty and recall claims, costs relating to environmental laws and regulations, information systems disruptions, the loss of the services of our key employees and difficulties in achieving cost savings. Many of these factors are beyond our ability to control or predict. Readers are cautioned not to place undue reliance on these forward-looking statements. We undertake no obligation to publish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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SOURCE Chicago Rivet & Machine Co.
