Companies that pay dividends show prudent fiscal management in place, which is an important piece of information about a business. Some investors believe that a dividends shows that earnings are real and not manufactured by smart accountants manipulating GAAP rules.

Companies that raise dividends however show not only smart cash management skills, but also confidence in the company’s near term prospects. This assurance of balance sheet strength, despite the challenging economic environment, show their focus on delivering sustainable long-term results to shareholders. The boards of several firms announced dividend hikes over the past week:

Connecticut Water Service, Inc. (NASDAQ: ), which operates as a regulated water company in Connecticut. , increased its quarterly dividend by 2.20% to 22.75 cents per share. Connecticut Water Service, Inc. is a dividend achiever, which has increased dividend payments for each of the last 40 years. The stock currently yields 4.20%.

Consolidated Water Co. Ltd. (NASDAQ: ), which uses reverse osmosis technology to produce fresh water from seawater, announced an increase to its quarterly dividend by 15% to 7.50 cents per share. Consolidated Water Co. Ltd. is an international dividend achiever, which has increased its quarterly dividend in each of the past ten years. The stock currently yields 1.40%.

Badger Meter, Inc. (NYSE: ), which engages in manufacturing and marketing flow measurement and control products for water utilities, municipalities, and industrial customers worldwide, increased its quarterly dividend by 9% to 12 cents per share. CEO Richard A. Meeusen noted, "This is our seventeenth consecutive year of increased dividend payments.