Unsustainable Dividend Policy Cartoon: Borrowing to Pay Shareholders

Where the only thing growing faster than profits... is the debt to pay the dividends.

The Scenario: In this unsustainable dividend policy cartoon, we look at the dangerous theater of shareholder appeasement.

A CEO stands before an audience, presenting a "successful" year characterized by high payouts. The twist? The chart clearly shows that these dividends aren't coming from cash flow or profits, but from a mounting mountain of debt.

It’s a biting look at corporate myopia where the future is sold to keep the current stock price afloat.

The Observation: This piece of workplace satire targets the "Creative Accounting" smoke-and-mirrors. It critiques a culture where an unsustainable dividend policy is used to mask fundamental business failures.

At Kaapi with Ravi, we highlight the comical irony that while investors love a dividend check, they often ignore the fact that the company is effectively putting that check on its own credit card.

A company borrowing money to pay a dividend is like a person taking out a payday loan to treat their friends to dinner—it looks generous until the bill for the interest arrives.

Explore more from Kaapi with Ravi

• Series: Leadership Cartoons 

  
  

• Theme: Boss Cartoons