Pengaruh Return on Asset, Net Profit Margin, Earning Per Share, Firm Size, dan Free Cash Flow terhadap Dividend Payout Ratio pada Perusahaan Sektor Basic Material Tahun 2018-2022

Abstract

This study aims to determine the effect of Return on Asset, Net Profit Margin, Earning Per Share, Firm Size and Free Cash Flow on Dividend Payout Ratio in Basic Material sector companies in 2018-2022. This research is a type of quantitative research and is associative with the research population being Basic Material sector companies listed on the Indonesia Stock Exchange (IDX) in 2018-2022 totaling 73 companies. The sample was determined by purposive sampling so that 16 companies were obtained that met the criteria and became research samples. The type of data used is secondary data with data collection using the documentation method. The data analysis method used is descriptive statistical analysis, classical assumption testing, regression analysis, and hypothesis testing. The results of the study show that partially Return on Asset has a positive and insignificant effect on the Dividend Payout Ratio. Meanwhile, Net Profit Margin, Firm Size, and Free Cash Flow have a negative and insignificant effect on the Dividend Payout Ratio. And the last independent variable, Earning Per Share has a positive and significant effect on the Dividend Payout Ratio. Simultaneously, all independent variables affect the Dividend Payout Ratio in Basic Material sector companies listed on the IDX in 2018-2022.