DIVIDEND POLICY ON FINANCIAL PERFORMANCE OF THE LISTED CONGLOMERATE FIRMS IN NIGERIA.

DIVIDEND POLICY ON
FINANCIAL PERFORMANCE OF THE
LISTED CONGLOMERATE FIRMS IN
NIGERIA.
Umar Dauda
Accounting Department, Nigeria Police
Academy
umardauda@polac.edu.ng
&
Kabiru Isa Dandago
Accounting Department, Bayero
University Kano
kidandago@gmail.com
ABSTRACT
Primarily, the study aimed at examined the
impact of dividend policy on the financial
performance of the listed conglomerate firms
in Nigeria. Guided by Positivism research
philosophy, the study employed descriptive
causal research design. All conglomerate firmsBook of Abstract
listed on the Nigerian stock exchange were
taken as the Population of the study.
However, only three firms were actually
utilized due to discrepancies in the financial
records (specifically with regards to dividend
payments) of those firms dropped thus, using
census sampling three conglomerate firms
listed on the Nigerian stock exchange was the
sample size. Secondary method of data
collection was adopted to get detailed
financial records of the sampled firms for the
period of ten years (2009-2018). Pooled OLS
test (robust) was used for data analysis on
STATA version 14.0 which shows a positive
impact at 63%. It was concluded that, dividend
policy have significant impact on the financial
performance of the listed conglomerate firms
in Nigeria based on their reported Return On
Assets (ROA) hence, management of the firms
should geared their effort toward improving
financial performance strategies which in turn
will enhance their firms’ earnings and will
eventually lead to an increased dividend
payouts.
Keywords: Dividend policy, financial
performance and listed firms

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