INTER AND INTRA-INDUSTRY TRENDS OF DIVIDEND DECISIONS: A COMPARATIVE ANALYSIS OF CONSTRUCTION-ASSOCIATED INDUSTRIES IN INDIA

This study explores the inter and intra-industry trends of dividend decisions across construction-associated industries in India, including steel, cement, paint, granite, and ceramic tiles, over a ten-year period (2012-2022). Utilizing Compound Annual Growth Rate (CAGR) and trend analysis, the study evaluates the dividend payout ratios (DPR) and dividend yield ratios (DYR) of selected companies. The results show significant variations in dividend policies, with some sectors demonstrating steady dividend growth, while others adopt more conservative or fluctuating approaches. Steel and cement companies, being capital-intensive, tend to prioritize reinvestment, limiting dividend payouts. Conversely, industries like paint and ceramic tiles show more variability in dividend practices, depending on market conditions.This paper underscores how financial performance,profitability, and strategic decisions shape dividend behaviors in these industries. The findings offer valuable insights for investors, policymakers, and corporate managers in understanding sector-specific dividend dynamics. The study emphasizes the importance of adapting dividend policies to industry characteristics, such as capital intensity, market cycles, and profitability, in order to maintain financial stability and attract investor confidence.