BEDFORD, Mass.--(BUSINESS WIRE)--
Progress (NASDAQ: PRGS) today announced an expanded capital allocation
strategy that reflects the company's confidence in its long-term
business prospects and ability to generate consistent earnings and cash
flow while expanding its commitment to return capital to shareholders.
The Progress Board of Directors has approved the initiation of a
quarterly cash dividend to Progress shareholders. The first quarterly
dividend of $0.125 per share of common stock will be paid on December
15, 2016 to shareholders of record as of the close of business on
December 1, 2016.
Progress also intends to continue to repurchase Progress common stock
under the existing $200 million authorization previously approved by the
Board in March 2016.
"Our confidence in the strength of our business and free cash flow
generation enable us to expand our capital allocation strategy in
meaningful and lasting ways," stated Phil Pead, president and chief
executive officer. "We are pleased to be able to augment the strategic
investments in our business with increased returns to shareholders."
Note Regarding Forward-Looking Statements
This press release contains statements that are "forward-looking
statements" within the meaning of Section 27A of the Securities Act of
1933, as amended, and Section 21E of the Securities Exchange Act of
1934, as amended. Progress has identified some of these forward-looking
statements with words like "believe," "may," "could," "would," "might,"
"should,""expect," "intend," "plan," "target," "anticipate" and
"continue," the negative of these words, other terms of similar meaning
or the use of future dates.
Forward-looking statements in this press release include, but are not
limited to, statements regarding Progress' business outlook and
financial guidance. There are a number of factors that could cause
actual results or future events to differ materially from those
anticipated by the forward-looking statements, including, without
(1) Economic, geopolitical and market conditions, including the
uncertain economic environment in Europe as a result of the recent
Brexit vote, and the continued difficult economic environment in Brazil
and other parts of the world, can adversely affect our business, results
of operations and financial condition, including our revenue growth and
profitability, which in turn could adversely affect our stock price.
(2) We may fail to achieve our financial forecasts due to such factors
as delays or size reductions in transactions, fewer large transactions
in a particular quarter, fluctuations in currency exchange rates, or a
decline in our renewal rates for contracts. (3) Our ability to
successfully manage transitions to new business models and markets,
including an increased emphasis on a cloud and subscription strategy,
may not be successful. (4) If we are unable to develop new or
sufficiently differentiated products and services, or to enhance and
improve our existing products and services in a timely manner to meet
market demand, partners and customers may not purchase new software
licenses or subscriptions or purchase or renew support contracts. (5) We
depend upon our extensive partner channel and we may not be successful
in retaining or expanding our relationships with channel partners.
(6) Our international sales and operations subject us to additional
risks that can adversely affect our operating results, including risks
relating to foreign currency gains and losses. (7) If the security
measures for our software, services or other offerings are compromised
or subject to a successful cyber-attack, or if such offerings contain
significant coding or configuration errors, we may experience
reputational harm, legal claims and financial exposure. (8) We may make
acquisitions in the future and those acquisitions may not be successful,
may involve unanticipated costs or other integration issues or may
disrupt our existing operations. For further information regarding risks
and uncertainties associated with Progress' business, please refer to
Progress' filings with the Securities and Exchange Commission, including
its Annual Report on Form 10-K for the fiscal year ended November 30,
2015. Progress undertakes no obligation to update any forward-looking
statements, which speak only as of the date of this press release.
Progress Software Corporation
(NASDAQ: PRGS) is a global leader in application development, empowering
the digital transformation organizations need to create and sustain
engaging user experiences in today's evolving marketplace. With
offerings spanning web, mobile and data for on-premise and cloud
environments, Progress powers startups and industry titans worldwide,
promoting success one customer at a time. Learn about Progress at www.progress.com or
Progress is a trademark or registered trademarks of Progress Software
Corporation or one of its subsidiaries or affiliates in the U.S. and
other countries. Any other trademarks contained herein are the property
of their respective owners.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160928006303/en/
Brian Flanagan, +1
Erica Burns, +1 888-365-2779 (x3135)
Source: Progress Software Corporation
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