Microchip Technology Declares Quarterly Cash Dividend Increase to 39 Cents Per Share

CHANDLER, Ariz., Feb. 04, 2021 (GLOBE NEWSWIRE) -- (NASDAQ: MCHP) – Microchip Technology Incorporated, a leading provider of smart, connected and secure embedded control solutions, today announced that its Board of Directors has declared a quarterly cash dividend on its common stock of 39 cents per share. The dividend is payable on March 8, 2021 to stockholders of record on February 22, 2021. Microchip initiated quarterly cash dividend payments in the third quarter of fiscal year 2003 and has increased its dividend 66 times since its inception.

“Microchip’s financial performance in the December 2020 quarter was strong driving significant cash generation and debt reduction,” said Steve Sanghi, Chief Executive Officer. “As we continue to make significant progress towards our debt reduction goals, our Board has decided to return additional cash to our stockholders through a higher dividend as part of our cash return strategy. Our Board is pleased to declare a 5.8% increase in our quarterly dividend to a record 39 cents per share, which continues to reflect confidence in the cash-generating capability of our business, as well as our ongoing commitment to returning value to our stockholders.”

Cautionary Statement:

The statements contained in this release relating to continuing to make significant progress towards our debt reduction goals, returning additional cash to our stockholders through a higher dividend as part of our cash return strategy, the cash-generating capability of our business and our ongoing commitment to returning value to our stockholders are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements involves risks and uncertainties that could cause actual results to differ materially, including, but not limited to: uncertainties related to the impact of the COVID-19 pandemic on the economy, our business and the business of our customers and suppliers, actual cash flows generated from and used in the operation of our business; actual or projected levels of capital expenditures; our balance of cash and investments; changes in the tax rates that our stockholders pay on our dividends or other changes in U.S. tax laws including the Tax Cut and Jobs Act of 2017; our available borrowings under our credit agreement; the impact of any significant acquisitions we may make; our ability to realize the expected benefits of our acquisitions, changes in