Analysis of Factors Influencing Dividend Policy with Special Reference to Listed Companies in Sri Lanka

The research examines the factors influencing on dividend policy of listed companies in Sri Lanka. The investigation was performed with semi-structured questionnaire prepared by using Google Form and sent through email to the Chief Financial officers of the selected120 listed companies. The findings revealed that the current earnings, past dividend patterns and liquidity constraints more influence on dividend policy in listed companies in Sri Lanka. Further profitable investment opportunities, growth opportunities, shareholders’ preference, target dividend payout ratio, largest shareholder, statutory requirements and method of paying dividend are also influence on dividend policy in listed companies in Sri Lanka.