The world’s largest cereal manufacturing company Kellogg (K) announced on Friday the company will raise the quarterly dividend by 2.3% from $43 cents to $44 cents from the third quarter.
On the basis of the number of the outstanding shares, the increase in dividend will lead the company to additionally pay approximately $14.3 million.
Kellogg grew earnings by 23% for the fiscal year 2011 fourth-quarter, thanks to the increase in product prices which promoted the net sales to exceed expectations. Kellogg recently purchased Pringles crisp business from Procter & Gamble (PG), highlighting the importance of fast food on the company’s overall business, which is also one of the efforts the company made to strengthen operations in the Asia-Pacific region.