Medtronic's board of directors approved an 8 percent increase in the quarterly cash dividend.
Five things to know:
1. The increase equals around $0.54 per ordinary share every quarter, or $2.16 per ordinary share per year.
2. The dividend per share payout ratio is now 41 percent of the prior fiscal year non-GAAP diluted earnings per share after the increase.
3. This is the 42nd year in a row that Medtronic has increased its dividend payment. The company's dividend per share is up 77 percent over the past five years.
4. In the 2019 fiscal year, Medtronic returned $4.6 billion in capital to shareholders, and will continue to return 50 percent of free cash flow to shareholders through dividend and share repurchases.
5. Going forward, Medtronic expects to grow dividends in line with earnings and maintain a payout ratio on the prior fiscal year non-GAPP earnings per share around 40 percent.