THE INFLUENCE OF PROFITABILITY, LEVERAGE, AND COLLATERALIZABLE ASSETS ON DIVIDEND POLICY IN FOOD AND BEVERAGE SUBSECTOR MANUFACTURING COMPANIES LISTED ON THE INDONESIA STOCK EXCHANGE FOR THE PERIOD 2018-2024

Abstract

This research aims to analyze the effect of profitability, leverage, and collateralizable assets on dividend policy in manufacturing companies in the food and beverage sub-sector listed on the Indonesia Stock Exchange (IDX) during the period of 2018-2024. Using purposive sampling, which resulted in 10 companies as samples with a total of 70 data points. Data analysis was conducted using panel data regression with Eviews 13, to identify the relationship between independent variables and dividend policy. The results of the study indicate that profitability has a negative and significant effect on dividend policy, indicating that companies with high profitability levels tend to retain earnings for investment purposes rather than distributing them in the form of dividends. On the other hand, leverage has a positive and significant influence on dividend policy, indicating that companies with high debt levels strive to provide positive signals to investors through dividend payments. Meanwhile, collateralizable assets do not show a significant influence on dividend policy. These findings have implications for company management and investors in decision making regarding dividend distribution.