This study examines the determinants of dividend policy in Thailand’s technology sector, focusing on cash flows, firm performance, and Environmental, Social, and Governance (ESG) recognition. Using 220 firm-year observations from 44 listed companies (2020–2024) and firm- and year-fixed-effects regressions, the findings show that cash flows do not significantly influence dividend outcomes. Instead, profitability —measured by return on equity and net profit margin—is positively associated with dividend yields, though not with payout ratios. ESG100 index recognition is linked to higher dividend yields, suggesting reputational and signalling benefits, but it does not moderate the sensitivity of dividends to either cash flows or profitability. The results imply that dividend policies in this sector are anchored in earnings strength, with ESG recognition functioning as a credibility signal rather than a governance mechanism. These findings contribute to understanding how sustainability recognition interacts with traditional financial determinants in shaping payout behavior in emerging markets
Chaiwat Prasertkul Wattanapong (Fri,) studied this question.