Ecolab triples dividend growth in 2021
|Ecolab hiked its dividend by only 2 percent in both 2020 and 2019
Dividend Aristocrat Ecolab will raise its dividend by 6.3 percent to $0.51 per share in 2021. This follows a dividend hike of just 2.1 percent last year. Ecolab has now boosted its dividend 30 consecutive years.
The quarterly dividend will be hiked from 48 cents to 51 cents per share by Ecolab and will be paid January 18, 2022, to shareholders of record at the close of business on December 14, 2021. A new annual dividend rate of $2.04 per share yields 0.9% at a stock price of $225. Ecolab is one of the worst performing Dividend Aristocrats YTD.
Commenting on the increase in the company's press release, Christophe Beck, Ecolab’s President and Chief Executive Officer said, “The cash dividend increase reflects Ecolab’s strong financial position, cash flow and top and bottom-line performance in 2021, as well as our objective of returning our dividend payout ratio to historical levels. Our value proposition to help solve the world’s people, planet and business health needs is more important than ever, and we remain confident in our long-term outlook and robust growth opportunities to deliver superior results for our customers and shareholders.”
Ecolab states that it has paid cash dividends on its common stock for 85 consecutive years. In 2019 the company announced its smallest dividend hike in more than a decade. With this new dividend hike of more than 6 percent dividend growth seems to be picking up again for Dividend Aristocrat Ecolab.
Ecolab Inc. provides water, hygiene and infection prevention solutions and services. Ecolab's segments include Global Industrial, Global Institutional & Specialty and Global Healthcare & Life Sciences. Its Global Industrial segment consists of the Water, Food and Beverage, Downstream and Paper operating segments. Ecolab is a Dividend Aristocrats with more than 25 consecutive years of increased dividends.