CDW Corporation (CDW) will raise its quarterly dividend by 40.5 percent to $0.295 per share in 2018. This follows a 5 cent dividend hike to 21 cents per share quarterly by the it-services company last year.

The increased dividend will be paid on December 10, 2018, to all stockholders of record as of the close of business on November 26, 2018.

The new annual dividend of $1.18 per share yields 1.3% at a stock price of $88.04 for CDW Corp.

“Annual dividend increases are an important part of our capital allocation strategy, along with maintaining our leverage ratio, making strategic acquisitions and share repurchases,” said Collin B. Kebo, Senior Vice President & Chief Financial Officer, CDW. “Since our IPO in June 2013, our dividend has increased nearly seven-fold and we have returned more than $1.7 billion to shareholders through share repurchases and dividends. We intend to continue to execute against our capital allocation priorities with the enhanced free cash flow from tax reform.”

CDW Corporation (CDW) provides integrated information technology solutions to small, medium and large business, government, education and healthcare customers in the United States, Canada, and the UnitedKingdom. The company's offerings range from discrete hardware and software products to integrated IT solutions such as mobility, security, data centeroptimization, cloud computing, virtualization and collaboration. CDW was founded in 1984 and became a public company in 1993.