Abstract:
The research paper examines determinants among dividend payout of non-financial firms listed on Nairobi Securities Exchange. The NSE
has 50 listed non-financial companies as per NSE 2012 report. Purposive sampling technique was used anda sample of 30 non-financial companies for
duration of five years from 2007 to 2011 was selected. Secondary data was collected from audited financial statements of companies from Nairobi
Securities Exchange website and the websites of non-financial firms‘ .Dividend payout ratio was dependent variable while independent variables were
profitability, Growth, current earnings, and liquidity. Size and business risk was taken as moderating variables. Descriptive statistics and multiple
regressions were used. Return on equity current earnings and firms‘ growth activities were found to be positively correlated to dividend payout Business
risk and size,both the two taken as moderating variables increase the precision of significant variables from 95% to 99% hence among major
determinants of dividend payout.
