(Reuters) - Tiffany & Co (TIF.N) raised its dividend for the second time in 2010, and will now pay shareholders 25 cents per quarter for each share they hold, up from 20 cents, the upscale jeweler said on Thursday 20 May.

This latest increase follows an increase in January, when Tiffany raised its quarterly distribution from 17 cents per share.

Tiffany will pay the quarterly dividend on July 12 to shareholders of record on June 21.

In a statement, Chief Executive Michael Kowalski said the dividend increases reflect the board's "confidence in Tiffany's long-term earnings growth potential."

Tiffany is set to report its first-quarter results next Thursday 20 May, and Wall Street analysts are forecasting its net income will have nearly doubled from a year earlier to $47.51 million, or 36 cents per share, according to Thomson Reuters I/B/E/S.

(Reporting by Phil Wahba, editing by Gerald E. McCormick)