Flowers Foods Cuts Dividend by 49.5%, Ending 24-Year Dividend Growth Streak
Flowers Foods (NYSE: FLO) has announced a sharp dividend reduction in 2026. The bakery company lowered its quarterly dividend by 49.5% to $0.125 per share, down from the previous quarterly payment of $0.2475.
The new annualized dividend of $0.50 per share represents the first dividend cut in decades and ends a dividend growth streak that lasted more than 24 years.
At a share price of $7.42, Flowers Foods still offers a dividend yield of approximately 6.7%, although that is significantly below the double-digit yield implied by the previous payout level.
Management said the dividend reset is intended to support debt reduction while allowing the company to continue investing in its brands, product innovation, and manufacturing capabilities. According to Flowers Foods, strengthening the balance sheet has become a priority as the company works to improve long-term growth prospects.
Flowers Foods is one of the largest bakery companies in the United States. Founded in 1919 and headquartered in Thomasville, Georgia, the company owns well-known brands including Nature's Own, Dave's Killer Bread, Wonder, Canyon Bakehouse, Tastykake and Mrs. Freshley's. Its products are distributed throughout the United States through retail stores, supermarkets, convenience stores and foodservice channels.
The dividend cut follows what had been a long history of steady annual increases. Earlier in 2026, Flowers Foods raised its quarterly dividend to $0.2475 per share, marking its 94th consecutive quarterly dividend payment and extending a dividend growth record that dated back more than two decades.
The next quarterly dividend of $0.125 per share is scheduled to be paid on June 26, 2026, to shareholders of record on June 12, 2026.
Disclaimer: This article is for informational purposes only and should not be considered investment advice. Dividend policies can change at any time, and investors should verify all information using official company sources. Investing involves risk, and past performance does not guarantee future results.
