Kroger Co (KR) will raise its quarterly dividend by 12 percent $0.14 per share in 2018. This follows last year's $0.005 per share dividend hike to $0.125 per share. The supermarket operator has now raised its dividend for 12 consecutive years.

The next dividend will be paid on September 1, 2018, to shareholders of record on the close of business on August 15, 2018. The new $0.56 per share annual dividend yields 2.0% at the current stock price of $28.43.

"Kroger's dividend increase reflects our Board of Directors' confidence in our Restock Kroger plan," said Rodney McMullen, Kroger's chairman and CEO. "This marks our 12th consecutive year of dividend increases. We are committed to creating shareholder value."

The Kroger Co. operates supermarkets and multi-department stores throughout the United States. Kroger operates supermarkets under a variety of local banner names, including pharmacies, fuel centers and jewelry stores. The company's brands include Baker's, City Market, Dillons, Food 4 Less, Foods Co, Fred Meyer, Fry's, Gerbes, Harris Teeter, King Soopers, Jay C Food Store, Kroger, Owens Market, Pay-Less Super Markets, QFC, Ralphs and Smith's Food and Drug. The Kroger Co. was founded in 1883 and incorporated in 1902.