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Corporate payout, cash holdings, and the COVID-19 crisis: Evidence from the G-7 countries

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  • Ntantamis, Christos
  • Zhou, Jun

Abstract

This paper examines the impact of the COVID-19 pandemic on the adjustments of dividends and share repurchases of publicly listed firms in the G-7 countries. Firms in the United Kingdom, Germany, France, and Italy experienced a widespread cut in dividends, while firms in the United States and Canada cut cash payout more via share repurchases, with Japanese firms in between. Corporate cash holdings helped mitigate the negative impact of COVID on payout adjustments, but the impact was less significant for European firms.

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  • Ntantamis, Christos & Zhou, Jun, 2022. "Corporate payout, cash holdings, and the COVID-19 crisis: Evidence from the G-7 countries," Finance Research Letters, Elsevier, vol. 50(C).
    • Handle: RePEc:eee:finlet:v:50:y:2022:i:c:s1544612322004639
    DOI: 10.1016/j.frl.2022.103275
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    References listed on IDEAS

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    Cited by:

    1. Chung, Hae Jin & Jhang, Hogyu & Ryu, Doojin, 2023. "Impacts of COVID-19 pandemic on corporate cash holdings: Evidence from Korea," Emerging Markets Review, Elsevier, vol. 56(C).
    2. Zouhair Boumlik & Badia Oulhadj & Olivier Colot, 2023. "The Effect of the COVID-19 Pandemic on Corporate Dividend Policy of Moroccan Listed Firms," JRFM, MDPI, vol. 16(8), pages 1-17, July.
    3. Ma, Rufei & Fu, Xinxin & Ji, Qiang & Zhai, Pengxiang, 2024. "Do climate-exposed firms hold more cash? Global evidence," Economics Letters, Elsevier, vol. 237(C).
    4. Booth, Laurence & Chang, Bin & Zhou, Jun, 2023. "The evolution of corporate payout in Canada," Global Finance Journal, Elsevier, vol. 57(C).

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