<abstract xmlns="http://www.w3.org/1999/xhtml"><p>This paper examines the characteristics of dividend paying firms in Bosnia and Herzegovina. The research is conducted on a sample of 35 largest public firms during the period of five years, from 2013 to 2017, using multiple linear regression and logistic regression. The aim of the research is to explore the internal determinants of dividend payouts and to find whether there are any deviations from empirical experiences in the world. The research results show that larger and more profitable firms are more likely to pay dividends, while more indebted and closely held firms are less likely to pay dividends. The negative relation found between the dividend decision and investment opportunities is not statistically significant. The research results also show that the size is positively associated with higher payout ratios, while the payout ratios decrease with greater use of financial leverage. Profitability, investment opportunities and ownership concentration do not affect the level of dividend distribution.</p></abstract>

This paper examines the characteristics of dividend paying firms in Bosnia and Herzegovina. The research is conducted on a sample of 35 largest public firms during the period of five years, from 2013 to 2017, using multiple linear regression and logistic regression. The aim of the research is to explore the internal determinants of dividend payouts and to find whether there are any deviations from empirical experiences in the world. The research results show that larger and more profitable firms are more likely to pay dividends, while more indebted and closely held firms are less likely to pay dividends. The negative relation found between the dividend decision and investment opportunities is not statistically significant. The research results also show that the size is positively associated with higher payout ratios, while the payout ratios decrease with greater use of financial leverage. Profitability, investment opportunities and ownership concentration do not affect the level of dividend distribution.

Internal factors of dividend policy in public firms in Bosnia and Herzegovina

Croatian Review of Economic, Business and Social Statistics

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

{"article-title":"Internal factors of dividend policy in public firms in Bosnia and Herzegovina"}

This paper examines the characteristics of dividend paying firms in Bosnia and Herzegovina. The research is conducted on a sample of 35 largest public firms...

Internal factors of dividend policy in public firms in Bosnia and Herzegovina

Published Online: Dec 21, 2019

Page range: 1 - 16

Received: May 10, 2019

Accepted: Nov 30, 2019

DOI: https://doi.org/10.2478/crebss-2019-0007

Keywords
determinants, dividends, linear regression, logistic regression

© 2019 Ante Džidić et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Internal factors of dividend policy in public firms in Bosnia and Herzegovina

Published Online: Dec 21, 2019

Page range: 1 - 16

Received: May 10, 2019

Accepted: Nov 30, 2019

DOI: https://doi.org/10.2478/crebss-2019-0007

Keywordsdeterminants, dividends, linear regression, logistic regression

© 2019 Ante Džidić et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Keywords
determinants, dividends, linear regression, logistic regression