Zoetis (ZTS) will raise its quarterly dividend by 22.0 percent to $0.20 per share in the first quarter of 2020. This follows last year's 30 percent dividend hike by the animal health company.

The dividend is to be paid on Tuesday, March 3, 2020, to holders of record on Friday, January 17, 2020. A new annualized dividend rate of 80 cents per share yields 0.6% at a stock price of $124.45.

“Zoetis continues to drive revenue growth and increase its financial strength through a diverse and innovative product portfolio that provides solutions across the continuum of animal care,” said Glenn David, Executive Vice President and Chief Financial Officer. “We are well-positioned to generate cash for future growth and value creation opportunities, and I am pleased to announce that we are increasing our dividend by 22% in 2020 as part of our commitment to returning excess capital to shareholders.”

Zoetis Inc. is an animal health company. Zoetis discovers, develops, manufactures and markets veterinary vaccines and medicines, complemented by diagnostic products, genetic tests, biodevices and a range of services. Zoetis serves veterinarians, livestock producers and people who raise and care for farm and companion animals worldwide. The company, formerly a subsidiary of Pfizer, went public in 2013 and has paid a dividend ever since.