KANSAS CITY, Mo. (AP) -- Freight railroad operator Kansas City Southern on Monday raised its quarterly dividend by 10 percent to 21.5 cents per share.
The increase of 2 cents per share will be included on dividends payable April 3 to shareholders as of March 11.
The company also declared a dividend of 25 cents per share on its outstanding 4 percent non-cumulative preferred stock, payable April 2 to holders as of March 11.
Last week, Kansas City Southern reported that fourth-quarter profit fell 4 percent, but the results still beat expectations and share hit a record high. The railroad has seen a rebound in demand for hauling autos, offsetting weakness in coal shipments.
Fourth-quarter net income was $92 million, down from $96 million a year earlier. Excluding one-time items such as debt-retirement expenses, the company said it would have earned 92 cents per share, topping analysts' forecast of 82 cents per share, according to FactSet. Revenue rose 7 percent and also beat analysts' forecast.
The company also said Monday that its annual shareholder meeting would be May 2 in Kansas City, Mo.
The shares rose 46 cents to close at $94.48. The stock set a 52-week high of $94.49 during the day. In after-hours trading, they were down 25 cents to $94.23.
