Global biopharmaceutical company Pfizer (PFE) will raise its quarterly dividend by 2.6 percent to 39 cents per share quarterly. This follows a 5.6 percent dividendhike to $0.38 per share announced in the first quarter of 2020. This marks the 11th consecutive year of dividend increases by PFE.

The next dividend is payable March 5, 2021 to holders of the Common Stock of record at the close of business on January 29, 2021. A new annual dividend rate of $1.56 per share yields 4.1% at a stock price of $37.68. The first-quarter 2021 cash dividend will be the 329th consecutive quarterly dividend paid by Pfizer.

The transaction to combine Upjohn with Mylan to form Viatris Inc. closed on November 16, 2020. It is expected that Viatris will begin paying a quarterly dividend in the second quarter of 2021, at which time Pfizer’s quarterly dividend will be reduced such that the combined dividend dollar amount received by Pfizer shareholders, based upon the combination of continued Pfizer ownership and approximately 0.124079 shares of Viatris which were granted for each Pfizer share in the spin-off, will equate to Pfizer’s dividend amount in effect immediately prior to the initiation of the Viatris dividend.

“Our commitment to returning capital to shareholders is strong and the dividend increase reflects our continued confidence in the business and in our scientific pipeline,” stated Dr. Albert Bourla, Pfizer Chairman and CEO. “It also reinforces that our focus on creating meaningful value for patients benefits all our stakeholders.”

Pfizer Inc. is a biopharmaceutical company with a global portfolio that includes medicines, vaccines and consumer healthcare products. The company runs its commercial operations through two business segments: Pfizer Innovative Health (IH) and Pfizer Essential Health (EH). The majority of Pfizer's revenues come from the manufacture and sale of biopharmaceutical products. The company's brands include Advil, Centrum, Prevnar 13, Xeljanz, Eliquis, Lipitor, Celebrex, Pristiq and Viagra. Pfizer was incorporated in 1942 and had its IPO in 1944.