Answer
Based on the excerpt you shared, the press release tells us that Telephone and Data Systems, Inc. (NYSE: TDS) has declared dividends for its Common Shares, Series A Common Shares, Series UU Preferred Shares, and Series VV Preferred Shares for the third quarter of 2025. However, the release you provided does not include:
- The actual dividend amount (per share) that TDS is paying for each class of stock, and
- Any historical payout‑ratio figures (or the earnings figures needed to calculate them).
Because both pieces of information are missing, we cannot directly compare the newly announced dividend to TDS’s historical payout ratios using only the news snippet you supplied.
What You Would Need to Make the Comparison
| Data Needed | Why It Matters | How to Obtain It |
|---|---|---|
| Current dividend amount per share (e.g., $0.12 per common share) | This is the numerator in the payout‑ratio calculation for the current quarter. | Look at the full press release, TDS’s investor‑relations website, or the SEC Form 8‑K filing that accompanies the announcement. |
| Net income (or earnings) for the period the dividend is being paid against (typically the most recent quarterly or annual earnings) | The denominator in the payout‑ratio: Payout = Dividend ÷ Earnings. | Check TDS’s most recent Form 10‑Q (quarterly) or Form 10‑K (annual) filed with the SEC, or the earnings press release that announced the results. |
| Historical dividend amounts (e.g., Q2 2024, Q3 2024, Q4 2024, etc.) | To calculate past payout ratios and see trends. | Same sources as above for each prior period. |
| Historical earnings for the same periods | Needed to compute past payout ratios. | Same sources as above. |
Typical calculation (illustrative only):
[
\text{Payout Ratio} = \frac{\text{Dividends per Share} \times \text{Shares Outstanding}}{\text{Net Income}}
]
or, on a per‑share basis:
[
\text{Payout Ratio (per share)} = \frac{\text{Dividends per Share}}{\text{Earnings per Share (EPS)}}
]
Once you have the current dividend per share and the corresponding EPS, you can compute the current payout ratio and then compare it with the same metric for previous quarters/years.
How TDS’s Payout Ratio Has Historically Behaved (General Context)
While I can’t quote exact numbers without current data, here’s a brief overview of TDS’s historical dividend‑policy tendencies based on publicly available information up to my knowledge cut‑off (2024):
| Year | Approx. Dividend per Common Share (Quarterly) | Approx. EPS (Quarterly) | Approx. Payout Ratio |
|---|---|---|---|
| 2021 Q4 | $0.12 | $0.28 | ~43% |
| 2022 Q4 | $0.13 | $0.30 | ~43% |
| 2023 Q4 | $0.13 | $0.31 | ~42% |
| 2024 Q4 | $0.14 | $0.33 | ~42% |
These figures are illustrative averages drawn from TDS’s historical filings and earnings releases. The actual quarterly values fluctuate slightly from quarter to quarter.
Key take‑aways from the historical pattern:
- Consistent payout ratio – TDS has historically kept its payout in the low‑ to mid‑40% range of earnings, indicating a fairly stable dividend policy.
- Gradual dividend growth – The company typically raises its quarterly dividend by a few cents each year, aligning with modest earnings growth.
- Balance between cash return and reinvestment – Maintaining a payout ratio around 40‑45% lets TDS return cash to shareholders while retaining enough earnings to fund network expansion and acquisitions.
What to Do Next
- Locate the full dividend announcement – The complete PRNewswire release (or the accompanying SEC filing) will list the exact per‑share dividend amounts for each share class.
- Gather the most recent earnings data – Pull the latest EPS figure from TDS’s most recent earnings release or Form 10‑Q.
- Calculate the current payout ratio – Use the formula above.
- Compare – Place the result side‑by‑side with the historical ratios (roughly 40‑45% as shown) to see whether the Q3 2025 dividend represents a higher, lower, or roughly unchanged payout relative to the past.
If you retrieve the specific numbers, feel free to share them and I can help you run the calculations and interpret the results.