Impact of Free Cash Flows on Dividend Pay-Out in Jordanian Banks

Al-Fasfus, Fuad

doi:10.18488/journal.aefr.2020.105.547.558

Cited by 8 publications

(3 citation statements)

References 31 publications

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“…[3] stated that dividend policy was influenced by bank size, profitability, capital adequacy, credit risk but liquidity had no effect on dividend policy, [4] proved debt policy, returns on assets (ROA), company size and SEABC free cash flow influenced dividend policy. [5] also found that free cash flow, liquidity, leverage and profitability were influential factors affecting the dividend payout ratio. [6] presented research results which proved a significant positive effect of profitability on dividend policy but leverage and firm size had a negative relationship with dividend policy decision making.…”

Section: Introductionmentioning

confidence: 92%

Determinants of Dividend Policy: A Case of the Property and Real Estate Sector

Surya,

Taufik,

Malinda

2024

KSS

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This study aimed to determine the effect of free cash flow, leverage, and liquidity on dividend policy and profitability as intervening variables in property companies and real estate. Companies were selected based on purposive sampling techniques to produce 50 samples from 10 companies. The data analysis technique used for testing the hypothesis was the path analysis test and the Sobel test. The research results showed that free cash flow, leverage and liquidity had no direct effect on dividend policy. Profitability had a mediate effect of free cash flow and liquidity on dividend policy while profitability was unable to mediate the relationship leverage on dividend policy. Companies can distribute dividends regardless of free cash flow, leverage and company liquidity. The results of the study indicated that there were no factors that are thought to have a direct influence on dividend policy that are proven to be significant, so it is suggested that further research include other factors that can influence dividend policy. Keywords: free cash flow, leverage, liquidity, profitability, dividend policy

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Section: Introductionmentioning

confidence: 92%

Determinants of Dividend Policy: A Case of the Property and Real Estate Sector

Surya,

Taufik,

Malinda

2024

KSS

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“…Kapasitas suatu bisnis untuk menghasilkan keuntungan sambil memanfaatkan sumber dayanya dikenal sebagai profitabilitas, dan rasio profitabilitas dapat digunakan untuk mengukur kemampuan ini. Sejumlah penelitian memperlihatkan bahwa profitabilitas memiliki dampak menguntungkan yang kuat terhadap kebijakan dividen, termasuk yang dilakukan Dang et al (2018), Al-Fasfus (2020, Angelia & Toni (2020), dan Sanjaya dkk. (2018).…”

Section: Pendahuluanunclassified

Pengaruh Profitabilitas, Ukuran Perusahaan, dan Kepemilikan Perusahaan terhadap Kebijakan Dividen pada Perusahaan BUMN

Hidayat,

I Gusti Ketut Agung Ulupui,

Hera Khairunnisa

2024

JAPA

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Examining and assessing the effects of company size, profitability, and institutional ownership on state-owned enterprises listed on the Indonesia Stock Exchange's dividend policy from 2018 to 2022 is the goal of this research. In this study, logistic regression analysis was utilized with the assistance of SPSS 29. Utilizing secondary data from corporate annual reports and financial reports that are available on each company's website as well as the IDX, this study is quantitative in nature. The study's population consists of the 24 state-owned companies that were listed on the Indonesian stock exchange between 2018 and 2022. In this study, 75 data samples from 15 businesses that complied with the criteria were used to implement purposeful sampling. The results of the study indicate that, at least in part, profitability has a considerable favorable influence on the dividend policy. The company's size has no discernible effect on the dividend policy. Institutional ownership has no appreciable effect on the dividend policy. The study's implication for the corporation is that it should maximise profits through improved performance, particularly when it comes to the utilisation of company assets. Investors might therefore infer from this that they can base their selections on profitability. This is due to the study's showing that dividend policy can be impacted by a company's profitability.

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“…Meanwhile, the capital structure (leverage) literature begins with the phenomenal work created by Modigliani and Miller [7] about the irrelevance of capital structures continues to be an interesting topic in financial economics and has resulted in a great deal of research. However, previous studies have shown inconsistent results (see Pembayun and Subarjo [8], Ali et al [9], Hadistira et al [10], Al-Fasfus [11]).…”

Section: Introductionmentioning

confidence: 97%

Ownership Structure, Capital Structure, and Dividend Policy

Imamah,

Worokinasih,

Lin

et al. 2023

Advances in Economics, Business and Management Research

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Dividend policy is an important topic that is always interesting to research. The dividend policy determines the profit distributed to shareholders and the profit reinvested in the company. However, managers have different interests and seek to achieve personal gain and harm shareholders. This study examines the effect of ownership structure, capital structure, and free cash flow on dividend policy. The sample of this study is the companies listed on the Indonesia Stock Exchange from 2017 to 2021 using purposive sampling. The variables of this study consist of dividend payout ratio as the dependent variable and managerial ownership and debt to total asset ratio as the independent variables. Then, the interest variable in this study is the free cash flow ratio which acts as a moderating variable. The study uses panel data analysis from the common effects model of multiple linear regression. The empirical results found that managerial ownership positively and significantly affects the dividend payout ratio. The debt-to-total asset ratio negatively and significantly affects the dividend payout ratio. Surprisingly, the findings of the free cash flow ratio cannot be proven on the influence of both managerial ownership and debt to asset ratio. This study has implication for investors' interest to invest in getting the dividends they expect from companies in Indonesia. The main value of this paper is the analysis of the effect of ownership structure, capital structure, and free cash flow on dividend policy, and free cash flow is a moderating variable from the Indonesian perspective.

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Impact of Free Cash Flows on Dividend Pay-Out in Jordanian Banks

Cited by 8 publications

References 31 publications

Determinants of Dividend Policy: A Case of the Property and Real Estate Sector

Determinants of Dividend Policy: A Case of the Property and Real Estate Sector

Pengaruh Profitabilitas, Ukuran Perusahaan, dan Kepemilikan Perusahaan terhadap Kebijakan Dividen pada Perusahaan BUMN

Ownership Structure, Capital Structure, and Dividend Policy

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