Flowers Foods (FLO) will raise its quarterly dividend by 5.9 percent to $0.18 per share in the second quarter of 2018. This follows a 6.3 percent dividend hike last year and marks the 15th year of higher dividend payments.

This is the 63rd consecutive quarterly dividend paid by the company and is payable on June 21, 2018 to shareholders of record on June 7, 2018. This action increases the annualized dividend rate to $0.72 per share from $0.68 per share at this time last year.

"This dividend increase reflects confidence by Flowers' board and management team in the company's long-term ability to generate solid cash flows and deliver value to shareholders," said Allen L. Shiver, Flowers Foods' president and CEO. "As we make significant progress with our strategic initiatives under Project Centennial, we intend to use our strong financial position to support brand growth, make capital investments, deliver shareholder returns, and pursue strategic acquisitions."

Flowers Foods, Inc. is a producer and marketer of packaged bakery products. The Company operates in two segments: direct-store-delivery segment and warehouse delivery segment. Among the company's top brands are Nature's Own, Wonder, Tastykake, and Dave's Killer Bread. Flowers Foods has paid a dividend to shareholders every year since 2002.