Watsco Inc. (WSO) will raise its quarterly dividend by 9.9 percent to $1.95 per share in 2021. This follows a dividend hike of 10.9 percent to $1.775 per share in 2020 by the HVAC products distibutor. This will mark the 8th consecutive year of dividend increases for the company.

The next dividend is payable on April 30, 2021 to shareholders of record at the close of business on April 15, 2021. A new annual dividend rate of $7.80 per share yields 2.9% at a stock price of $267.

Watsco states that it has paid dividends for 47 consecutive years in the press release dated April 1, announcing this dividend hike. The Company’s philosophy is to share increasing amounts of cash flow with shareholders through higher dividends while maintaining a conservative financial position. Future dividends will be considered in light of investment opportunities, cash flow, general economic conditions and the Company’s financial condition.

Watsco, Inc. is a distributor of air conditioning, heating and refrigeration equipment, and related parts and supplies. In addition to the replacement market, Watsco sells to the new construction market.  The company was incorporated in Florida in 1956, and operates in the U.S. States, Canada, Mexico, and Puerto Rico with additional market coverage on an export basis to portions of Latin America and the Caribbean. Dividends have been paid every year since 1975.