Determinants of Profit Growth in Food and Beverage Companies in Indonesia

• 발행기관: 한국유통과학회
• 저자명: Endri ENDRI Aprida Kartika SARI Yanti BUDIASIH Tine YULIANTINI Kasmir KASMIR
• 간행물 정보: 『The Journal of Asian Finance, Economics and Business(JAFEB)』Vol. 7 No.12, 739~748쪽, 전체 10쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2020.12.30

영문 초록

The study aims to estimate the effect of current ratio (CR), current liability to inventory (CLI), total asset turnover (TAT), net profit margin (NPM), sales growth (SG), and company size (FS) on profit growth (PG). The research population was 18 companies in the Food and Beverage (F&B) sector listed on the Indonesia Stock Exchange (IDX) from 2014-2018. The data estimation method uses the common effect panel data regression model. The empirical findings show that the CR and CLI ratios have a negative effect on PG, while the TAT, NPM, and SG ratios have a positive effect. Company size is a factor that does not affect the growth of company profits. The results of the study imply that an increase in company profits can be achieved if the company operates efficiently and with low liquidity to encourage higher sales growth. The limitations of the research are as follows: first, this research considers only one type of industry, hence the results of this study would not be the same if applied to another type of industry. Second, the author observes profit growth by using the company’s financial ratios and

목차

1. Introduction

2. Literature Review

3. Research Methodology

4. Discussion

5. Conclusions

References

키워드

size and ignores other factors that may affect profit growth, for example, the number of employees, total net sales, and market capitalization.