Abstract: This empirical study aims primarily to examine determinants of the firm dividend payouts (FDP). A number of independent variables
namely ownership concentration, institutional shareholding, firm cash flows, investment opportunity, firm growth and firm risk are used as determinants of
the FDP of the most active firms listed on the Egyptian Exchange (EGX) after
statistically controlling for four control variables which are firm profitability,
firm leverage, firm industry and firm size. This investigation uses a sample
of 408 firm-year observations during a three-year period (2015–2017).
Pearson correlation and hierarchical multiple regression are employed to
investigate the impact of the independent variables on FDP. Descriptive
statistics shows that across the sampled firms over the three years, the average
FDP is 7.6%. Further, excessive variation in the FDP is found across sampled
firms over the time period. A number of significant relations between FDP
and three independent variables (ownership concentration, institutional
shareholding and firm growth) are found. HMR finding support results
obtained from Pearson correlation. |
