This study analyzed the accounting information disclosure and dividend payout of listed pharmaceutical firm in Nigeria from 2016 to 2021. The specific objectives were to: Examine the effect of earnings per share on dividend payout of listed pharmaceutical firm in Nigeria; Assess the effect of Net Profit Margin on dividend payout of listed pharmaceutical firm in Nigeria; Evaluate the effect of stock price on dividend payout of listed pharmaceutical firm in Nigeria The following independent variables were used: earning per share, net profit margin and stock price while dividend payout policy was used as the dependent variables. Secondary sources of data were employed; the relevant data were obtained from the financial report of the selected firms. Panel Least Square (OLS) method was used in analyzing the data. The result revealed that Earnings per share have significant effect on dividend payout of listed pharmaceutical firm in Nigeria. It was found that Net Profit Margin has no significant effect on dividend payout of listed pharmaceutical firm in Nigeria It was found that Stock price has significant effect on dividend payout of listed pharmaceutical firm in Nigeria. The researcher recommends that Shareholders always consider the dividends as a source of income as the board should ensure a stable price ratio. The accounting information generated should be readily available for potential investors’ decision making. The qualities of financial information which include timeliness, clarity, relevance and accessibility of the information should be a guide in providing financial information.
Citation: Odoemelam, E.P.,and Obiora, F. (2023) Accounting Information Disclosure and Dividend Payout of Listed Pharmaceutical Firm in Nigeria, European Journal of Accounting, Auditing and Finance Research, Vol.11, No. 2, pp.62-83
Keywords: Dividend payout, Earnings per share, Net Profit Margin, Stock Price
