McCormick (MKC) will raise its quarterly dividend by 9.7 percent to 68 cents per share. This follows a dividend hike 8.8 percent to $0.62 per share announced by the company last year. The Dividend Aristocrat has now raised its dividend for 35 consecutive years.
The next dividend is payable January 11, 2021 to shareholders of record December 31, 2020. A new annual dividend rate of $2.72 per share yields 1.5% at a stock price of $183.67. The increased dividend will be paid on a split-adjusted basis of $0.34 per share to reflect the 2-for-1 stock split that is effective December 1, 2020.
In the company's press release dated November 20, McCormick comments on this new dividend hike: This marks the 35th consecutive year that the Company has increased its quarterly dividend. At $0.68, the quarterly dividend is double the amount paid in 2013.
Lawrence E. Kurzius, Chairman, President & CEO, said "Our overarching focus on long-term sustainable growth is relentless. We are confident our strategies will continue to drive McCormick forward and further build shareholder value. We remain committed to our long history of returning cash to shareholders and I am pleased to announce another dividend increase." McCormick has paid dividends each year since 1925.
McCormick & Company will now pay an estimated $363 million in dividends to shareholders annually. The average annual dividend growth rate over the last five years is 9.6 percent.
McCormick & Company, Incorporated manufactures, markets and distributes spices, seasoning mixes, condiments and other flavorful products to the entire food industry – retail outlets, food manufacturers and foodservice businesses. The company's brands include Aeroplane, Billy Bee, Brand Aromatics, Cattlemen's, Club House, Drogheria & Alimentari, Ducros, El Guapo, Frank's Redhot, French's and Giotti. McCormick has paid dividends each year since 1925.