Phillips 66 Partners LP (PSXP) wil raise its quarterly distribution by 1.2 percent to $0.875 per unit in the first quarter of 2020. Last year the MLP hiked its dividend by 9.2 percent.

The next quarterly distribution is payable February 13, 2020, to unitholders of record as of January 31, 2020. A new annual rate of $3.50 per unit yields 5.6% at a stock price of $52.

Phillips 66 Partners is a growth-oriented master limited partnership formed by Phillips 66 (PSX) to own, operate, develop and acquire primarily fee-based crude oil, refined petroleum product and natural gas liquids pipelines and terminals and other transportation and midstream assets. PSXP became publicly traded in July 2013.