Penske boosts dividend ahead of Q2 earnings

Penske Automotive Group Inc. raised its quarterly dividend 7 percent for the second straight quarter this year, to 16 cents per share from 15 cents, the company said today.

The dividend is payable on Sept. 3 to shareholders of record on Aug. 12.

"Based upon the strength in our financial performance, cash-flow generation and the strong automotive retail environment in our U.S. and U.K. markets, we remain confident in our ability to continue growing our business," Robert Kurnick Jr., Penske's president, said in a statement.

Penske is scheduled to release its second-quarter results on July 31.

Penske last boosted its dividend, also by 7 percent, in the first quarter, to 15 cents per share from 14 cents.

Penske is No. 2 on the Automotive News list of the largest U.S. dealership groups, with retail sales of 180,764 new units in 2012.