Effect of Dividend payment on corporate Performance of Firms (Case study of quoted Oil and Gas companies in Nigeria):- Nwafor Assumpta C

ABSTRACT

The aim of this study is to analyze the Effect of dividend payment on corporate performance ofquoted oil and Gas companies in Nigeria. Dividendpaid -was used as a proxy for dividend payment which is the independent variable while ROE, ROCE, ROA and NPMwas used as proxyfor performance which is the dependent variable. The study uses data of4 companies out of13 quoted oil and Gas companies as at 2018, for the period of5 years, 2014-2018. Purposive sampling method was used as a sampling technique, data was collected and analyzed using ordinary least method ofsimple regression analysis. From the result ofthe empirical investigation which addressed the stated objectives, research questions and hypothesis of the study, the work concludes among others that there is no significant effect ofdividend payment on performance (return on capital employed, return on asset, return on equity and net profit margin) oflisted oil and gas companies in Nigeria. Based on the findings, the study recommends that; Oil and gas firms willing to maximize shareholder’s wealth andprofitability should endeavorto consistently increase their dividend payment as this sends signal to potential investors that the firm is financially healthy, Management of oil and gas firms should set aside retained earnings wheneverpossible as this couldpositively impact theirperformance, Keywords: Dividend payment, Performance Variables, OLS, quoted oil and gas companies