Security Federal Corporation announced a special cash dividend of $0.18 per share, payable on April 15, 2026 to shareholders of record as of March 31, 2026. The board made the declaration on April 15, 2026, the same day the dividend will be paid.
The dividend follows a strong 2025 financial year in which the company reported net income of $13.673 million, up from $9.807 million in 2024, and earnings per share of $3.80, up from $2.77. Revenue rose 16.23% to $58.93 million, driven by higher net interest income and improved non‑interest revenue.
The special dividend is in addition to the company’s regular dividend history. In 2024 the company paid a regular dividend of $0.1400 per share, and it announced a quarterly dividend of $0.15 per share to be paid on March 15, 2026, later corrected to $0.16 per share. The forward dividend yield was 2.20% as of early April, and the payout ratio remains low at 15.8%, indicating the dividend is well covered by earnings.
CEO J. Chris Verenes said, "As a result of our continued profitability, we are very pleased to provide this additional payment to our shareholders. This is a special dividend and the payment and amount of future dividends will be predicated on the Board's assessment of the financial condition, earnings and capital requirements of the Company." The statement underscores management’s confidence in the company’s financial position while leaving future dividends contingent on ongoing performance.
Security Federal Corporation operates through Security Federal Bank, which maintains 19 full‑service branches in South Carolina and Georgia and offers trust, investment and insurance services. The company’s limited analyst coverage—no analysts currently cover the stock—means the dividend announcement provides a key data point for investors assessing the firm’s cash generation and return policy.
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