The Estée Lauder Companies (EL) will this time hike its dividend by 10.4 percent to 53 cents quarterly. Earlier this year the dividend was suspended and later reinstated again with quarterly dividend of 48 cents per share in the previous quarter. This april the cosmetics and hair care company suspended its quarterly dividend because of the COVID-19 pandemic. This followed double digit dividend hikes in each of the previous ten years by the company. Last year EL raised its quarterly dividend by 11.6 percent to $0.48 per share.
The next quarterly dividend of $0.53 per share on the Company’s Class A and Class B Common Stock will be paid on December 15, 2020 to stockholders of record at the close of business on November 30, 2020. The new annual dividend rate yields almost 1% at a stock price of $223.85 for EL.
Because of the suspension in the second quarter a dividend track record of 10 consecutive years with at least a double digit dividend hike announced by Estée Lauder has come to an end. The company now pays an estimated $766 million in dividends annually to its shareholders.
The Estée Lauder Companies Inc. is a manufacturer and marketer of skin care, makeup, fragrance and hair care products. The Company’s products are sold worldwide under brand names including: Estée Lauder, Aramis, Clinique, Prescriptives, Lab Series, Origins, Tommy Hilfiger, M•A•C, Kiton, La Mer, Bobbi Brown, Donna Karan New York, DKNY, Aveda, Jo Malone London, Bumble and bumble, Michael Kors, Darphin, Tom Ford, Smashbox, Ermenegildo Zegna, AERIN, Tory Burch, RODIN olio lusso, Le Labo, Editions de Parfums Frédéric Malle, GLAMGLOW, By Kilian, BECCA and Too Faced. The company had paid dividends every year since it went public in November 1995.