Commercial Metals Company (CMC) will raise its quarterly dividend by 16.7 percent to $0.14 per share in 2021. This is the first dividend hike announced by the metals company since 2007. CMC has never cut the dividend in the last couple of decades. Also CMC announced a new $350 million share repurchase program.

The next quarterly dividend of $0.14 per share will be paid on November 10, 2021 to CMC stockholders of record as of the close of business on October 27, 2021. A new annual dividend rate of 56 cents yields 1.8% at a stock price of $31.75.

"Today's announcement reflects a well-balanced capital allocation strategy that will continue to fund value-accretive growth, while returning a meaningful portion of CMC's free cash flow to shareholders," said Barbara R. Smith, Chairman of the Board, President and Chief Executive Officer.  "This action was made possible by the strategic transformation carried out over the last several years, which has greatly enhanced our Company's earnings capability and cash flow profile.  Looking ahead, we believe CMC is well-positioned to achieve our key strategic goals of identifying, funding and executing on attractive growth opportunities, maintaining strong returns over the economic cycle and providing shareholders with attractive cash returns, while maintaining a high-quality balance sheet."

Commercial Metals and its subsidiaries manufacture, recycle and fabricate steel and metal products and provide related materials and services through a network including seven electric arc furnace ("EAF") mini mills, two EAF micro mills, one rerolling mill, steel fabrication and processing plants, construction-related product warehouses, and metal recycling facilities in the U.S. and Poland. Commercial Metals Company, established in 1915, has been paying a dividend every year since at least 1964.