Conagra Brands (CAG) will raise its quarterly dividend by 29.4 percent to $0.275 per share in 2020. This is the first dividend increase announced by the packaged food company since 2017.

The new dividend will be paid on December 2, 2020 to stockholders of record as of the close of business on November 2, 2020. A new annualized dividend rate of $1.10 per share yields 3.0% at a stock price of $36.88.

Conagra last hiked its dividend in 2017 with a 6.2 percent increase. This followed a 20.0 percent dividend cut by the company in 2016 with no dividend increases announced in 2013, 2014 and 2015. Conagra now pays an estimated annual dividend $536 million.

Conagra Brands, Inc., formerly ConAgra Foods, Inc., is a packaged food company, selling food products and commercially branded foods through two segments: Consumer Foods and Commercial Foods. Conagra also is a supplier of vegetable, spice and grain products for restaurants, foodservice operators and commercial customers. The company's brands include Marie Callender's, Reddi-wip, Hunt's, Healthy Choice, Slim Jim, Banquet, Birds Eye, Orville Redenbacher's, as well as emerging brands, including Alexia, BOOMCHICKAPOP, Blake's, Gardein, Frontera and Duke's. Conagra has paid a dividend to shareholders every year since at least 1972.