La-Z-Boy (LZB) will hike its quarterly dividend by 7.1 percent to $0.15 per share in Q1 of 2021. This follows a dividend hike of 100 percent to 14 cents per share in the fourth quarter of 2020. Earlier in 2020 the company suspended its 14 cent quarterly dividend and later reinstated the dividend with a 7 cent payment in September 2020. The furniture manufacturer had raised its dividend seven consecutive years prior to the dividend cut in Q2 of 2020.

In the company's press release dated January 28, 2021, the company announces the increased quarterly dividend. The 15 cent dividend will be paid on March 15, 2021, to shareholders of record as of March 4, 2021. An annualized dividend rate of $0.60 per share will yield 1.6% at a stock price of $38.33.

Last year La-Z-Boy announced the elimination of the June quarterly dividend and termination of the share repurchase program indefinitely to prioritize near-term financial flexibility. La-Z-Boy stated that it remains committed to paying dividends over the long-term and will seek to resume dividends as business conditions improve. 

La-Z-Boy had announced a dividend hike in each of the previous seven years, with double digit dividend growth from 2013 until 2016. The company will now pay an estimated annual dividend of $28 million to its shareholders. 

La-Z-Boy Incorporated is a residential furniture producer. The La-Z-Boy Upholstery segment companies are England and La-Z-Boy. The Casegoods segment consists of three brands: American Drew, Hammary, and Kincaid. The company-owned Retail segment includes La-Z-Boy Furniture Galleries stores. Joybird is an e-commerce retailer and manufacturer of upholstered furniture. The corporation’s branded distribution network sells La-Z-Boy Incorporated products and brands, and includes stand-alone La-Z-Boy Furniture Galleries stores and independent Comfort Studio locations, in addition to in-store gallery programs for the company’s Kincaid and England operating units. Edward M. Knabusch and Edwin J. Shoemaker started Floral City Furniture in 1927, and in 1928 the newly formed company introduced its first recliner. In 1941, the company was incorporated in the state of Michigan as La-Z-Boy Chair Company, and in 1996 the company changed its name to La-Z-Boy Incorporated.