ROCHELLE PARK, N.J. - Sapiens International (NASDAQ:SPNS) Corporation N.V. (NASDAQ: SPNS) (TASE: SPNS), a software solutions provider for the insurance industry, has declared a cash dividend of $0.29 per share, totaling $16.2 million.
The payment, scheduled for September 12, 2024, will be made to shareholders of record as of August 28, 2024. This dividend is consistent with Sapiens' practice of semi-annual payouts, which aim to distribute up to 40% of its annual non-GAAP net income.
Roni Al-Dor, President & CEO of Sapiens, remarked on the dividend, stating it reflects the company's solid financial performance and confidence in its strategic direction. Al-Dor expressed gratitude to shareholders, customers, partners, and employees for their ongoing support.
Sapiens, with over 40 years of industry experience, specializes in cloud-based SaaS insurance platforms that offer pre-integrated, low-code solutions.
The company supports over 600 customers in more than 30 countries, providing a range of services from core to complementary solutions, including Reinsurance, Financial & Compliance, Data & Analytics, and Decision Management.
The dividend is subject to a 25% Israeli withholding tax. Sapiens' forward-looking statements caution that actual results may differ materially from those projected due to various risks and uncertainties. These include changes in the global economic environment, integration of acquired companies, and the inherent challenges of the software industry.
Investors are advised to consider the risks detailed in Sapiens' Annual Report on Form 20-F for the year ended December 31, 2023, before drawing conclusions from these forward-looking statements. The company has stated it will not update any forward-looking statements unless required by law.
This report is based on a press release statement from Sapiens International Corporation.
InvestingPro Insights
Sapiens International Corporation (NASDAQ: SPNS) has recently demonstrated a robust financial position, which is reflected in its decision to declare a cash dividend. In line with this, InvestingPro data indicates a market capitalization of $1.94 billion, with a solid revenue growth of 8.37% over the last twelve months as of Q2 2024. This growth is a testament to the company's ability to expand its operations and maintain profitability in a competitive industry.
InvestingPro Tips for Sapiens highlight the company's financial stability, as it holds more cash than debt on its balance sheet and has consistently paid dividends for 10 consecutive years. This commitment to returning value to shareholders is further underscored by a dividend yield of 1.61% as of the latest data, coupled with a 12% dividend growth over the prior twelve months.
While Sapiens trades at a high P/E ratio of 27.98, suggesting a premium valuation relative to near-term earnings growth, it's important to note that analysts predict the company will be profitable this year. The company's stock also tends to exhibit low price volatility, which may appeal to investors seeking a more stable equity investment. For those interested in a deeper analysis, there are additional InvestingPro Tips available at https://www.investing.com/pro/SPNS, which can provide further insights into Sapiens' financial health and market performance.
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