NewMarket Raises Quarterly Dividend 8% to $3.25 per Share
Key Facts
NewMarket’s board of directors announced an increase in the quarterly cash dividend to $3.25 per share, up $0.25 from the previous dividend of $3.00, or about 8%. The company said in a statement carried by Business Wire that the new dividend will be paid on January 1, 2027. It will go to shareholders of record at the close of business on December 15, 2026. The decision gives shareholders a direct increase in the cash amount scheduled for each share in the next dividend payment. The announcement followed an improvement in the company’s third-quarter 2026 earnings compared with the same period a year earlier.
NewMarket’s net income in the third quarter of 2026 was about $124.1 million, with earnings per share of $13.50, compared with net income of $100.3 million and earnings per share of $10.67 in the third quarter of 2025. The company attributed the improvement mainly to higher operating income and a lower effective tax rate. The quarterly results provide context for the dividend announcement, while the annual comparison shows a different trajectory. In fiscal 2025, net income was $418.7 million and earnings per share were $44.44. Net income was $462.4 million and earnings per share were $48.22 in 2024.
The annual decline was not limited to net income; net sales fell 2.2% in 2025 to $2.7 billion compared with 2024. In its annual report, the company said the decline in the petroleum additives segment’s operating earnings between the two years was mainly related to lower product shipments and selling prices, as well as higher operating costs. Lower raw-material costs offset some of those pressures, according to the report. Afton Chemical produces petroleum additives, while Ampac makes specialty materials used primarily in solid rocket motors for the aerospace and defense sectors. This diversification places the company’s businesses across the fuel and lubricant additives market and the specialty materials sector.
In the first nine months of 2026, NewMarket paid $83.1 million in dividends and spent $88.5 million on capital expenditures. It also repurchased more than 200,000 shares for $126.4 million during the same period. The company said it reduced its net debt to EBITDA ratio to 1.0 times. The quarterly dividend increase forms part of a spending record that includes dividends, share repurchases and capital investment, according to figures reported by the company. That does not change the fact that annual net income and earnings per share declined in 2025 compared with 2024.
In the market, NewMarket shares closed at $873.27 on October 28, 2026, down 0.25% for the session, according to MarketScreener data. Available closing-price data show the stock ended the October 23 session at $870.60, then closed at $878.03 on October 26 and $875.42 on October 27. On October 28, it closed at $873.27. These figures reflect closing-price movements during the sessions cited, while the trading-range data did not include the session’s high or low on October 28. The company did not link the dividend decision in its statement to specific expectations for the stock or to trading performance during that session.
Chief Executive Thomas Gottwald said the company continues to monitor the impact of the conflict in the Middle East, the unsettled economic environment, changes in international trade relations and tariffs. At the same time, NewMarket said it expects to complete capacity expansion projects for ammonium perchlorate and high-purity hydrazine by the end of 2026. The timeline sets out the next operational milestone announced by the company in its results. The next payment date for the announced dividend is January 1, 2027, for shareholders of record at the close of business on December 15, 2026. These dates remain specified in the company’s statement, alongside the announcement of an increase in the quarterly dividend to $3.25 per share.