Philip Morris International (PM) will raise its quarterly dividend by another 2.6 percent to $1.20 per share in 2020. This follows a similar 2.1 percent dividend hike to $1.17 quarterly by the cigarette maker last year. The dividend has now been raised for 13 consecutive years.

The next quarterly dividend of $1.20 per share is payable on October 13, 2020, to shareholders of record as of September 24, 2020. The ex-dividend date is September 23, 2020. A new annual rate of $4.80 per share yields 5.9% at a stock price of $81.23.

Phillip Morris International will now pay an estimated $7.5 billion in dividends to shareholders annually. The company's stock price is down 2.1 percent year-to-date resulting in a current market cap of $126.9 billion. The 5 year dividend growth rate has slowed to 3.3 percent annually, while the 10 year CAGR for PM's dividend is +7.3 percent because of double digit dividend hikes by the company in 2010, 2011, 2012 and 2013.

Philip Morris International is engaged in the manufacture and sale of cigarettes, smoke-free products and associated electronic devices and accessories, and other nicotine-containing products in markets outside the United States of America. The company's brands include Marlboro, L&M, Lark, Merit, Muratti, Philip Morris, Bond Street, Chesterfield, Next and Red & White. PMI also owns various other local cigarette brands and has a strong presence in emerging markets. The company's smoke-free product brand portfolio includes heated tobacco and nicotine-containing vapor products. Brands include IQOS, HEETS, Marlboro HeatSticks. Philip Morris International Inc. is a Virginia holding company incorporated in 1987.