Name: Dividend Payout Ratio

Definition: The dividend payout ratio shows what portion of the company’s profits are paid out to shareholders as dividends. If it’s 60%, that means 60% goes to shareholders, while 40% is kept inside the business for future growth. High payout ratios reward shareholders today. Lower payout ratios suggest the company believes it can earn even more by reinvesting in itself.

Interpretation:
• In '2021', TW's dividend payout ratio was 0.28, demonstrating the portion of earnings distributed as dividends. Industry average for Investment Bankers/Brokers/Service in '2021' stood at 0.76.
• In '2022', TW's dividend payout ratio was 0.24, demonstrating the portion of earnings distributed as dividends. Industry average for Investment Bankers/Brokers/Service in '2022' stood at 0.77. Industry average increased by 0.01 compared to previous year.
• In '2023', TW's dividend payout ratio was 0.21, demonstrating the portion of earnings distributed as dividends. Industry average for Investment Bankers/Brokers/Service in '2023' stood at 0.87. Industry average increased by 0.10 compared to previous year.
• In '2024', TW's dividend payout ratio was 0.19, demonstrating the portion of earnings distributed as dividends. Industry average for Investment Bankers/Brokers/Service in '2024' stood at 1.05. Industry average increased by 0.18 compared to previous year.
Overall, TW's dividend payout ratio has been volatile but showed a downward trend over the past 4 years.

Formula: Dividend Payout Ratio = Dividends / Net Income

Good Range: Ranges widely; 30%-60% common for mature firms.