CUPERTINO, Calif. — Apple plans to buy back an additional $30 billion of its stock, raise its quarterly dividend by 8 percent, and split its stock for the first time in nine years.
The commitment announced Wednesday as part of Apple’s fiscal second-quarter earnings report expands on the company’s previous pledge to spend $60 billion on stock buybacks by the end of next year. The company is now earmarking $90 billion for buybacks during that time frame.
Apple Inc. also is raising its quarterly dividend to $3.29 per share as part its effort to funnel more money to shareholders.
The company also will execute an unusual seven-for-one stock split in early June. The move will dramatically decrease the nominal value of Apple’s stock, which closed Wednesday at $524.75, though the total value of the company shouldn’t change from the split.
Apple’s earnings rose 7 percent to $10.2 billion, or $11.62 per share, an amount that exceeds what most technology companies make in an entire year. Revenue climbed by 5 percent to $45.6 billion.
The Cupertino, Calif., company’s quarterly revenue growth has been stuck between 1 percent and 6 percent for the past year.