Journal of Contemporary Accounting
Volume 7 Issue 3, 2025

The influence of free cash flow, capital structure, investment opportunities, and company growth on dividend policy

Sawal, Nuning Safitri M. (Unknown)
Ohorella, Rizki Wahyu Utami (Unknown)
Meliana, Meliana (Unknown)



Article Info

Publish Date
10 Dec 2025

Abstract

This study examines the influence of free cash flow, capital structure, investment opportunities, and firm growth on dividend policy among mining companies listed on the Indonesia Stock Exchange (IDX) over the observation period. The research applies multiple regression analysis based on secondary data derived from financial statements and annual reports. The findings reveal that free cash flow, capital structure, and firm growth do not have a significant impact on dividend policy. In contrast, investment opportunities show a positive and meaningful effect on dividend decisions. Collectively, these variables are found to influence dividend policy, although the model explains only a limited portion of its variation, indicating that other factors beyond the scope of this study also play a role. The results suggest that investment opportunities serve as an important consideration for management in determining dividend policy, while free cash flow, capital structure, and firm growth are not the primary determinants.

Copyrights © 2025






Journal Info

Abbrev

JCA

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Contemporary Accounting (JCA) is a peer-reviewed journal published three times a year (January-April, May-August, and September-December) by Master in Accounting Program, Faculty of Economics, Universitas Islam Indonesia. JCA is intended to be the journal for publishing articles reporting ...