Dividend Policy in Indonesian Property Issuers: The Moderating Role of Liquidity on Financial Determinants

Venny Maulidah Perdani; Sri Novita; Tintien Harsonowati

doi:10.63922/ijebir.v5i04.5074

Venny Maulidah Perdani Universitas Panca Marga
Sri Novita Grha Arta Khatulistiwa Academy of Finance and Banking
Tintien Harsonowati Universitas Muhammadiyah Metro

DOI: https://doi.org/10.63922/ijebir.v5i04.5074

Keywords: Dividend Policy, Return on Equity, Asset Growth, Liquidity, Moderating Variable, Property Companies.

Abstract

This paper investigates how leverage, Return on Equity (ROE), company scale, and asset expansion shape dividend decisions among property firms on the Indonesia Stock Exchange between 2023 and 2025, treating short-term liquidity (Current Ratio) as a variable that may condition these relationships. A causal-quantitative design was applied to a balanced panel of seven firms observed across three years, yielding 21 firm-year data points. Multiple linear regression together with Moderated Regression Analysis (MRA) was used to test the proposed model. Findings indicate that profitability (ROE) and the pace of asset growth both exert a significant, positive influence on dividend payout, whereas leverage and firm scale show no meaningful influence. When liquidity is introduced as a moderator, it amplifies the ROE–payout link but does not alter the (already weak) leverage–payout relationship. Taken together, these results point to profitability generated on equity and the availability of liquid resources as the two pillars that best explain payout behavior among Indonesian property companies.

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