The Impact Of Corporate Financial Performance On Dividend Cash During The Global Health Crisis
DOI:
https://doi.org/10.31328/cebi.v3i1.289Keywords:
Keywords: Dividend cash, financial performance, global health crisis , the Covid 19 pandemic, emerging marketsAbstract
This study aims to examine the impact of corporate financial performance on dividend cash the global health crisis, the Covid 19 pandemic. As a sample, I employed 4969 firms listed on the India and Indonesia Stock Exchanges to represent emerging markets and London Stock Exchange to represent developed markets for the period 2019-2021. This study applied multivariate analysis to examine the hypotheses. The results show that dividend value decreased at the onset of the global crisis and increase during the year of the pandemic for both emerging markets and developed markets. For emerging markets, corporate financial performance effect dividend cash significantly, however, for the UK, the dividend payment is not determined by corporate financial performance during the crisis. Particularly, all samples, in emerging markets or developed market (the UK region) show the same results that bigger the size of companies, tend to pay more dividend cash during the Covid 19 pandemic in 2020 and 2021.
References
Ali, H. (2022). Corporate dividend policy in the time of COVID-19: Evidence from the G-12 countries. Finance Research Letters 46, 102493. https://doi.org/10.1016/j.frl.2021.102493.
Ali, N., Ur Rehman, Z. M., Ashraf, N. B., & Shear, F. (2022). Corporate Dividend Policies during the COVID-19 Pandemic. Economies 10: 263. https://doi.org/10.3390/economies10110263.
De Vito, A., & Gómez, J-P.: Estimating the COVID-19 cash crunch: Global evidence and policy. Journal of Accounting and Public Policy 39 (2), 106741. https://doi.org/10.1016/j.jaccpubpol.2020.106741 (2020).
Hardy, B. (2021). Covid-19 bank dividend payout restrictions: effects and trade-offs. Bank for International Settlements (BIS) Bulletins 38, March 2021. https://www.bis.org/publ/bisbull38.pdf
Henderson, J. (2023). Janus Hendersen Global Dividend Index. Edition 37, March 2023. Janus Henderson Investor. https://cdn.janushenderson.com/webdocs/H051569_0223_English.pdf
Lee, N., & Lee, J. 2019. R & D Intensity and Dividend Policy: Evidence from South Korea’s Biotech Firms. Sustainability 11, 4837; doi:10.3390/su11184837.
Maneenop, S., & Kotcharin, S. (2020). The impacts of COVID-19 on the global airline industry: An event study approach. Journal of Air Transport Management, 89 (July), 101920. https://doi.org/10.1016/j.jairtraman.2020.101920 (2020).
Ntantamis, C., Zhou, J. (2022). Corporate payout, cash holdings, and the COVID-19 crisis: Evidence from the G-7 countries. Finance Research Letters 50, 103275. https://doi.org/10.1016/j.frl.2022.103275
Tinungki, M. G., Robiyanto, R., & Hartono, G. P. (2022). The Effect of COVID-19 Pandemic on Corporate Dividend Policy in Indonesia: The Static and Dynamic Panel Data Approaches. s. Economies 10: 11. https://doi.org/10.3390/ economies10010011
Xu, X., Lin, C., Yan, Y. (2021). Covid-19 Crisis and Corporate Cash Dividend Policies: Evdence from Chinese Listed Companies. Applied Economics Letters 28(5). https://doi.org/10.1080/13504851.2021.1980485
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2023 Yossi Diantimala
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
