Who decides if a company pays dividends?

• Related Articles

• Can a company pay dividends even if it has a loss?

  Yes, if the company has enough cash reserves, it can pay dividends even during a loss-making year.

• What are dividends?

  Dividends are a portion of a company’s profits shared with its shareholders. They are paid on a per-share basis.

• How are dividends paid?

  Dividends are directly credited to your bank account linked to your Demat account.

• Do companies pay dividends every year?

  No, paying dividends is not mandatory. Companies may choose to reinvest profits into the business for growth instead of distributing them as dividends.

• Can a stock split indicate anything about the company’s performance?

  Not necessarily. A stock split is more about improving share affordability and liquidity than indicating company performance. However, a company announcing a split might suggest confidence in its future growth.