dividend out of

USAGE SUMMARY

The phrase "dividend out of" is correct and usable in written English.
It can be used in financial contexts to describe the distribution of profits to shareholders from a company's earnings. Example: "The company declared a dividend out of its profits for the last quarter, rewarding its shareholders."

✓ Grammatically correct

News & Media

Academia

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

8 human-written examples

The Companies Act 2006 states that a company may only pay a cash dividend "out of profits available for the purpose", which is defined as "accumulated profits".

The Guardian - Sport

The company has about $12 billion in cash and short-term investments, but there is already a debate about whether it should cut its dividend out of fear that it could run out of money.

The New York Times

The government's argument that there would be a "Brexit dividend", out of which it would help to fund a large increase in spending on the NHS, was wrong, it said.

The Times

Had they paid out less, capital appreciation would, in theory, have been commensurately higher.The main reason why investors are worried is that dividends are a guide to managers' views of when earnings might reach their trough: they do not want to pay the dividend out of borrowing, or worse, cut it again.

The Economist

The third difference between share holding and partnerships is that a partner is automatically entitled to a share of the profits of the firm as soon as they are ascertained, but a shareholder is entitled to a dividend out of the company's profits only when it has been declared.

Britannica

Lucas never took a dividend out of the company and drew just a modest salary.

Forbes

Human-verified similar examples from authoritative sources

Similar Expressions

52 human-written examples

Commentary from political figures has led to speculation over whether BP will suspend its dividend, pull out of the U.S. or even eventually file for bankruptcy protection.

Forbes

Stock buybacks and lush dividends come out of a bank's retained earnings, also its source for increased lending.

The New York Times

But when the appreciation and dividends come out of the annuity at the other end they are converted into ordinary income taxed at 35%.

Forbes

In order to offer spectacular returns, Kreuger paid dividends out of capital, not earnings.

The Economist

The taxpayers provided $116.1 billion of support to Fannie, which has paid the Treasury Department $35.6 billion in dividends out of its earnings.

The New York Times

Expert writing Tips

Best practice

When discussing financial performance, clearly specify the source from which the "dividend out of" is being paid to maintain transparency and investor confidence.

Common error

Avoid ambiguity by explicitly stating the origin of the "dividend out of". Do not assume the reader understands it automatically, to ensure clear communication and prevent misinterpretations.

Linguistic Context

The phrase "dividend out of" functions as a prepositional phrase modifying the noun "dividend". It indicates the source or origin of the dividend payment. Ludwig AI confirms its correctness and usability in English.

Expression frequency: Uncommon

Frequent in

News & Media

40%

Academia

30%

Formal & Business

30%

Less common in

Science

0%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

In summary, the phrase "dividend out of" serves as a prepositional phrase that modifies "dividend", specifying its origin or source. As Ludwig AI confirms, it is considered grammatically correct and usable in English. Its primary purpose is to enhance clarity in financial contexts, particularly when detailing from which funds the dividend payments originate. While the phrase is most frequently found in news and media, academic, and formal business settings, it maintains a professional register. To ensure clear communication, it's recommended to explicitly state the dividend’s origin to avoid any potential ambiguity.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

dividend derived from

This alternative emphasizes the origin of the dividend from a specific source.

dividend sourced from

Replaces 'out of' with 'sourced from', highlighting the origin of the dividend.

dividend paid from

This variation changes 'out of' to 'paid from', focusing on the payment aspect.

dividend from

A shorter version, implying the dividend comes from a source.

distribution from

This uses 'distribution' instead of 'dividend', which might be used in a broader context of payouts.

payout from

Replaces both dividend and out of, providing an alternative.

dividend financed by

Focuses on the financing aspect of the dividend.

dividend funded through

Similar to 'financed by' but with a slightly different connotation.

dividend generated from

Highlights that the dividend is a result of earnings or revenue.

dividend allocated from

Focuses on the specific allocation from a set of funds.

FAQs

How to use "dividend out of" in a sentence?

You can use "dividend out of" to specify the source of the dividend payment, as in "The company paid a "dividend" out of its retained earnings".

What can I say instead of "dividend out of"?

Alternatives include phrases like "dividend derived from", "dividend sourced from", or "dividend paid from", depending on the context.

Is it correct to say "dividend from" instead of "dividend out of"?

While "dividend from" can be used, "dividend out of" is more precise when specifying the particular fund or source from which the "dividend" is paid.

What is the difference between "dividend out of profits" and "dividend from revenue"?

"Dividend out of profits" indicates that the dividend is paid from the company's net earnings, while "dividend from revenue" (which is less common) could imply that the "dividend" is paid from gross income before expenses.