Dentalcorp Holdings Ltd. has declared a dividend of $0.025 per share, payable Oct. 21, 2025, to shareholders of record as of Oct. 2. The company will release its third-quarter 2025 results on Nov. 6, before markets open.
This marks Dentalcorp’s third consecutive quarterly dividend since its board authorized an inaugural payout in March 2025. At that time, CEO Graham Rosenberg said strong free cash flow would allow the company to maintain its mergers and acquisitions program, return capital to shareholders and reduce debt.
Related: Dentalcorp reports record $45.6M in free cash flow in second quarter
The board has said it will review the dividend on a quarterly basis, with future payouts dependent on the business environment, operating results and ongoing funding needs.
Dentalcorp is Canada’s largest network of dental practices, with more than 10,000 dentists, health professionals and support staff nationwide.
“This move underscores the company’s commitment to rewarding shareholders, even as it navigates a complex financial landscape marked by high debt and a negative dividend payout ratio,” writes Eli Grant at AInvest.
Dentalcorp’s free cash flow reached about $166.8 million in the third quarter, supporting short-term sustainability. But the company’s debt-to-equity ratio stands at 60.2 per cent, with more than one billion dollars in total debt.
Related: Dentalcorp expects $21.4M in profits after acquiring 30 dental practices last year
Citing the leverage concerns, market commentator Wesley Park called the dividend “a double-edged sword.” While Dentalcorp’s free cash flow and debt-reduction efforts support sustainability, he said its reliance on “accounting gymnastics and high leverage introduces significant risk.”