Flowers Foods (FLO) will raise its quarterly dividend by 4.8 percent to 22 cents per share in 2022. This comes after a dividend hike of 5 percent in 2021 by FLO.

Flowers Foods, Inc., producer of Nature's Own, Dave's Killer Bread, Wonder, Canyon Bakehouse, Tastykake, and other bakery foods, today announced that its board of directors has declared a quarterly dividend of $ 0.22 per share, an increase of 4.8% over the same quarter last year. This is the 79th consecutive quarterly dividend paid by the company and is payable on June 23, 2022, to shareholders of record on June 9, 2022. This action increases the annualized dividend rate to $0.88 per share from $0.84 per share at this time last year.

In other actions, the board increased the company's share repurchase authorization by 20 million shares. At the close of the company's first quarter on April 23, 2022, 5.4 million shares remained under the existing authorization. With the board's action today, the current authorization increases to 25.4 million shares, affording ample repurchase capacity as the company continues to execute its growth plan and maintain balance sheet discipline.

"I am pleased to announce the board's decision to increase the dividend and share repurchase authorization, which reflects our confidence in Flowers' growth prospects and balance sheet strength," said Ryals McMullian, Flowers Foods president and CEO. "The fundamentals of our business remain strong, and we are working steadfastly to enhance our prospects. Our strong cash flow enables continued investment in our leading brands, while enhancing shareholder return via a growing dividend and opportunistic share repurchases."

Flowers Foods, Inc. is a producer and marketer of packaged bakery products. The Company operates in two segments: direct-store-delivery segment and warehouse delivery segment. Among the company's top brands are Nature's Own, Wonder, Tastykake, and Dave's Killer Bread. Flowers Foods has paid a dividend to shareholders every year since 2002.