Dividend payout refers to the distribution of a company's earnings, in the form of dividends, to its shareholders. It is the amount of money that a corporation pays out of its profits to its shareholders as a dividend. The percentage of profit paid out as a dividend is called the payout ratio and it indicates how much of the company's earnings are being distributed to shareholders rather than being reinvested in the business or used to pay down debt. A high payout ratio means that most of the company’s profits go to its shareholders, while a low payout ratio suggests that the company is retaining more of its earnings for future growth and expansion.