PHILADELPHIA--(BUSINESS WIRE)--Radian Group Inc. (NYSE:RDN) announced today that based on the company’s strong financial position and capital flexibility, which has increased over the past several years due to excellent financial performance and active capital management, its Board of Directors has approved the following:
- An increase to the company’s quarterly cash dividend from $.0025 to $0.125 per share. The Board approved this increase effective for Radian’s current quarterly dividend, which is payable March 6, 2020, to stockholders of record as of February 24, 2020.
- An increase to the company’s existing share repurchase authorization from $200 million to $475 million, and a program extension to August 2021. As of February 12, 2020, approximately 3.1 million shares for a total cost of $73.2 million, including commissions, have been repurchased under this program, leaving $401.8 million in share repurchase authority remaining. Similar to previous programs, Radian plans to utilize a Rule 10b5-1 plan to execute a portion or all of the authorization, which permits the company to purchase shares, at pre-determined price targets, when it may otherwise be precluded from doing so.
Chief Executive Officer Rick Thornberry commented, “I am pleased that the actions we have taken over the past several years to strengthen our financial position and increase our capital flexibility, coupled with Radian’s outstanding financial performance, enable us to continue to return capital to stockholders through share repurchases and an increased dividend.”
Radian is ensuring the American dream of homeownership responsibly and sustainably through products and services that include industry-leading mortgage insurance and a comprehensive suite of mortgage, risk, real estate, and title services. We are powered by technology, informed by data and driven to deliver new and better ways to transact and manage risk. Learn more about Radian’s financial strength and flexibility at www.radian.biz and visit www.radian.com to see how Radian is shaping the future of mortgage and real estate services.
All statements in this press release that address events, developments or results that we expect or anticipate may occur in the future are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Exchange Act and the U.S. Private Securities Litigation Reform Act of 1995. In most cases, forward-looking statements may be identified by words such as “anticipate,” “may,” “will,” “could,” “should,” “would,” “expect,” “intend,” “plan,” “goal,” “contemplate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “seek,” “strategy,” “future,” “likely” or the negative or other variations on these words and other similar expressions. These statements, which may include, without limitation, projections regarding our future performance and financial condition, are made on the basis of management’s current views and assumptions with respect to future events. Any forward-looking statement is not a guarantee of future performance and actual results could differ materially from those contained in the forward-looking statement. These statements speak only as of the date they were made, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. We operate in a changing environment where new risks emerge from time to time and it is not possible for us to predict all risks that may affect us. Our ability and willingness to declare future dividends and to repurchase shares under the proposed repurchase program are subject to risks and uncertainties including, without limitation: our ability to successfully execute and implement our capital plans and to maintain sufficient holding company liquidity to meet our liquidity needs; our ability to successfully execute and implement our business plans and strategies; our ability to maintain an adequate level of capital in our insurance subsidiaries to satisfy existing and future regulatory requirements; changes in economic, market and political conditions that, among other things, may affect our capital resources, liquidity and financial resources. For more information regarding these risks and uncertainties as well as other additional risks that we face, you should refer to the Risk Factors detailed in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2018, and subsequent reports filed from time to time with the U.S. Securities and Exchange Commission.