Board approves $1 billion stock buy back

ST.  PETERSBURG—Jabil Inc.’s board of directors has given the company the green light to buy back $1 billion of common stock.

The company did not disclose any immediate plans to begin a buy back, instead saying the board gave officials the authority to make the purchases “from time-to-time through fiscal year 2023 using various methods, including in the open market at the company's discretion and subject to market conditions and other factors.”

According to a statement issued through its investor relations website, Jabil Inc. (NYSE: JBL) CEO Mark Mondello says the buy back “reflects our belief in Jabil’s ability to generate strong earnings and free cash flow.”

This isn’t the first time the company has bought back stock. The statement says that since 2016 it has returned $2 billion to shareholders both through stock buy backs and dividend payments.

Earlier in the day, Jabil announced that it would pay a quarterly dividend of 8 cents per share to shareholder as of Aug. 13. The dividend is payable Sept. 2.

The company says in the announcement that it has consistently paid quarterly dividend payments since May 15, 2006.

Jabil, a giant in manufacturing technology, employs 260,000 people in 30 countries. The company’s net revenue, according to its third quarter earning announced June 17, was $7.2 billion for the quarter.