SJW Group (SJW) will raise its regular quarterly dividend by 6.3 percent to 34 cents per share in 2021. This follows a dividend hike of 6.7 percent to $0.32 per share in the first quarter of 2020. This also marks the 53rd consecutive year of annual dividend increases by the water utility company.

The increased dividend is payable on March 1, 2021, to shareholders of record at the close of business on February 8, 2021. The new annual rate of $1.36 per share yields 2.1% at a stock price of $67.50.

From the company's press release: “Today’s action by our board reflects their confidence that our passionate and dedicated employees will continue to deliver on our long-term growth strategy of infrastructure investment, focus on water and wastewater, and serving customers at world-class levels,” said Eric W. Thornburg, president, chief executive officer, and chairman of the board.

SJW Group will now pay an estimated $39 million in dividends to its shareholders annually. The average dividend growth rate in the last five years is 10.9 percent annually.

SJW Group, headquartered in San Jose, California, is the parent company of San Jose Water Company, SJWTX, Inc., Texas Water Alliance Limited, and SJW Land Company. Together, San Jose Water Company and SJWTX, Inc. provide water service in San Jose, California and nearby communities and in Canyon Lake, Texas and nearby communities. SJW Land Company owns and operates commercial real estate investments. SJW Group is the third largest investor-owned pure play water and wastewater utility based on rate base in the United States.