This study aimed to examine the effect of earnings, operating cash flow and free cash flow on dividend policy. The study also examined the effect of earnings, operating cash flow and free cash flow this year to profits, operating cash flow and free cash flow a year earlier.
The population in this study consisted of 454 non-financial companies listed on the Indonesia Stock Exchange 2011-2015 period. Then, the samples were selected by purposive sampling method and do outlier to the remaining 42 companies. The research hypothesis testing method using multiple regression analysis.
The results showed that earnings and operating cash flow have positive effect on dividend policy. But the result of this study shows the negative influence of free cash flow on dividend policy
