Determinants of Dividend Payout Policies: Evidence from Airline Industry

Abstract

The goal of this research is to uncover the financial factors that influence airline dividend payment policies. The panel data analysis method was used to analyze the financial data of 16 airlines from 2009 to 2018. In the study, the dividend payout of the airlines was used as the dependent variable. The independent variables of the study were determined as firm size, leverage ratio, tangible fixed assets, profitability level, market value, liquidity ratio, and corporate cash availability. The findings of the study reveal that in the airline industry, there is a strong link between corporate cash holdings and dividend payments. According to the findings, increased corporate cash availability results in a significant increase in dividend payments.