Firm's Financial Attributes and Dividend Policy of Listed Deposit Money Banks in Nigeria.

This study examined the effect of firm attributes on the dividend policy of listed deposit money banks in Nigeria. Specifically, the study investigated the influence of profitability, leverage, and liquidity on dividend payout ratio. An ex-post facto research design was adopted, and secondary data were obtained from the published financial statements of selected listed deposit money banks over the study period. The data were analyzed using descriptive statistics, correlation analysis, and Ordinary Least Squares (OLS) regression technique. The findings revealed that profitability has a positive and statistically significant effect on dividend payout ratio, indicating that more profitable banks are more likely to distribute higher dividends to shareholders. Liquidity was also found to have a positive and significant impact on dividend payout ratio, suggesting that banks with stronger liquidity positions are better able to sustain dividend payments. Leverage exhibited a negative relationship with dividend payout ratio; however, the effect was not statistically significant at the 5% level. The overall regression model was statistically significant, with firm attributes jointly explaining a substantial proportion of variations in dividend payout ratio. The study concludes that profitability and liquidity are key determinants of dividend policy among listed deposit money banks in Nigeria, while leverage plays a relatively weak role. It recommends that bank management prioritize earnings growth and effective liquidity management to ensure sustainable dividend payments and enhance shareholder value