scholarly journals Effects of Green Technology on Firm’s Profitability and Solvency: Exhibit from the Textiles Industry of Bangladesh

2020 ◽  
Vol 10 (2) ◽  
pp. XX-XX
Author(s):  
Nazim Uddin ◽  
Musa Miah

In recent years there has been increasing advocacy regarding the perception that turning green is good for the corporation and thus for the whole economy. Green technology is nowadays a popular term in any industry but the stakeholders always ask a question of whether the company benefits from using green technology or is there any financial gain? This question remains unanswered in our country, and because of that new entities are not willing to adopt green technology especially in the textile sector. This paper shows that the companies using green technology having financial benefits than the companies not using green technology. In this paper, we used financial performance measurement techniques to find out companies' financial health. This study has taken data of 43 listed companies of Dhaka Stock Exchange. Then it divides the data into two groups, a group accustomed to green technology and a group not accustomed to green technology. Firstly, we used profitability ratios (ROS, ROA, ROE) to find out two groups of companies' position. Profitability ratios vary significantly from one group to another. Secondly, we used solvency ratios (Debt asset ratio and debt-equity ratio) and find result almost similar but the result changes with the passages of time through the payment of installment. So from the study, it can be said that profitability is positively related to the adoption of green technology. Thus, by studying this paper company will be keen to adopt green technology in their organization. This paper will also help existing companies to improve the existing technology.

2019 ◽  
Vol 14 (1) ◽  
pp. 1
Author(s):  
Teng Sauh Hwee ◽  
William William ◽  
Stephani Stephani ◽  
Vera Vera ◽  
Devi Supantri ◽  
...  

AbstrakPenelitian ini bertujuan untuk menguji dan menganalisis pengaruh rasio solvabilitas, rasio profitabilitas, likuiditas dan laba per saham terhadap kebijakan dividen pada perusahaan consumer goods yang terdaftar pada Bursa Efek Indonesia periode 2013-2017. Metode penelitian yang digunakan yaitu pendekatan kuantitatif, jenis penelitian deskriptif dan bersifat eksploratif. Populasi dalam penelitian ini adalah 45 perusahaan Consumer  Goods. Teknik pengambilan sampel adalah Purposive Sampling, yaitu sebanyak 10 Perusahaan. Teknik analisis data menggunakan model analisis regresi linear berganda, koefisien dertiminasi, Uji-F, dan Uji-t untuk mendapatkan model regresi yang baik. Hasil penelitian hipotesis secara simultan menunjukkan rasio solvabilitas, rasio profitabilitas, likuiditas dan laba per saham berpengaruh positif dan signifikan terhadap kebijakan dividen pada perusahaan consumer goods yang terdaftar pada Bursa Efek Indonesia periode 2013-2017.  Kata kunci :  Total Debt to Equity Ratio, Return on Equity, Current Ratio,  Earning Per Share dan Kebijakan Dividen AbstractThis study aims to examine and analyze the effect of solvency ratios, profitability ratios, liquidity and earnings per share on dividend policy in consumer goods companies listed on the Indonesia Stock Exchange for the period 2013-2017. The research method used is quantitative approach, descriptive research type and explorative. The population in this study were 45 Consumer Goods companies. The sampling technique is purposive sampling, which is as many as 10 companies. Data analysis techniques used multiple linear regression analysis models, determination coefficients, F-Tests, and T-Tests to obtain a good regression model. The results of simultaneous hypothesis research indicate solvency ratios, profitability ratios, liquidity and earnings per share have positive and significant effect on dividend policy in consumer goods companies listed on the Indonesia Stock Exchange for the period 2013-2017.  Keywords :      Total Debt to Equity Ratio, Return on Equity, Current Ratio, Earning Per Shareand Dividend Policy


2018 ◽  
Vol 7 (2) ◽  
Author(s):  
Rosyeni Rasyid ◽  
Gita Sri Mulyani ◽  
Yolandafitri Zulvia

This research was conducted in order to analyze the effect of profitability as measured by ROA and Leverage as measured by DER to Return of Stock Company of Food and Beverages Manufacturing sector listed in Indonesia Stock Exchange for period 2012-2016. The population in this study are food and beverages companies listed on the Indonesia Stock Exchange in 2012-2016. The sample in this research is determined by purposive sumpling based on criteria as (1) manufacturing company of food and beverages sub sector listed in Indonesian Stock Exchange from 2012 until 2016 (2) Company that publishes complete financial report during observation period from 2012 until by 2016. (3) Companies with data leverage (DER), and profitability ratios (ROA) complete and have been processed. The sample in this research is 49. The results of this study show (1) Return On Assets (ROA) have a positive and significant effect on stock returns. (2) Debt To Equty Ratio (DER) has a negative and insignificant effect on stock returns on food and beverages companies listed in Indonesia Stock Exchange 2012-2016Keywords: Return on asset (ROA); debt to equity ratio (DER);return saham


2016 ◽  
Vol 2 (1) ◽  
Author(s):  
Eka Susilawati

The purpose of this research was to determine whether Liquidity Ratios (Current Ratio), Solvency Ratio (Debt to Equity Ratio), and Profitability ratios (Return on Equity and Net Profit Margin) have an influence on Earning Per Share.The type of data in this study are secondary data, the sampling method is used purposive sampling and methods polled. The company used a sample of 26 of 136 companies listed on the Indonesia Stock Exchange during the period 2008-2011. This research is quantitative, and statistical testing using multiple linear regression test.The results of this study indicate that simultaneous four independent variables significantly influence the Earning Per Share. Partially shown that Current Ratio, Debt to Equity Ratio and Net Profit Margin has a positive and significant effect on Earning Per Share. While Return On Equity has a positive effect but not significant to Earning Per Share. Keywords: Current Ratio, Debt to Equity Ratio, Return On Equity, Net Profit Margin, Earning Per Share.


2021 ◽  
Vol 25 (1) ◽  
pp. 24-32
Author(s):  
Khaira Amalia Fachrudin

An insolvency and financial health prediction model is an important warning to decision-makers. This study aims to design a model that provides numbers and ranges for prediction of company insolvency and financial health. The study population is all the listed companies on the Indonesia Stock Exchange, while the sample consists of 216 companies that had negative equity from 2010 to 2019 and 216 companies with positive equity. The independent variables include the solvency and profitability ratios in one and two years before the insolvency. Logistic regression was used as an analysis tool. The results are 24 prediction models. The comprehensive one revealing the solvency ratio in the previous one year and the profitability ratio in the previous one and two years can predict the probability of insolvency and financial health.


Paradigm ◽  
2007 ◽  
Vol 11 (2) ◽  
pp. 38-45
Author(s):  
Siddharth Mahajan ◽  
Mainak Sarkar

We compare the financial performance of three Indian companies, Tata Motors, Maruti, and Mahindra & Mahindra with two MNCs, Honda and Hyundai. While it would be desirable to include other MNCs in the study, data on only these two MNCs are available in the PROWESS database as these are the only ones listed on the stock exchange. In order to compare the financial performance, we use ten ratios. There are four profitability ratios, four liquidity ratios and two solvency ratios. The profitability ratios used are profit margin, asset turnover, return on assets, and return on equity. The liquidity ratios used are current ratio, quick ratio, debtor turnover and inventory turnover. The solvency ratios used are debt to equity ratio and interest coverage ratio. For each ratio we find the average performance for the three Indian companies and the average performance for the two MNCs. The averages are compared. We also find the coefficient of variation for Indian companies and for MNCs for each of the ten ratios. A high average performance on a particular ratio combined with a lower coefficient of variation would definitely indicate a better performance by a particular group. Based on this criterion, MNCs have a better performance than Indian companies on return on assets and interest coverage ratio. On the other hand, Indian companies have a better performance than MNCs on return on equity. For each of the ten ratios, we also look at data from 2002 to 2006 for each of the five companies. Using regression, we see if the trend in each ratio for each company is statistically significant. This would indicate whether a company is on an improvement path, based on a particular ratio.


Author(s):  
Apriani Simatupang

<div><em>are also used by investors to analyze companies in forecasting profits, forecasting dividends and forecasting stock prices. Analysis of financial statements is then used to compare companies with other companies in the same industry. The purpose of this study is to determine the analysis of liquidity ratios, activity ratios, solvabilities ratios, profitability ratios of hotels, restaurants, and tourism sub-sectors listed on the Indonesia Stock Exchange in 2014-2016 in order to compare the company's financial performance so that it can take future decisions.</em><em>The research method used is descriptive analysis of the results of data analysis of financial statement analysis. The results obtained from the analysis of the financial statements of companies that have the best CR are PT MNC Land Tbk. The company has the best TATO ratio is PT Bayu Buana Tbk. The ratio of DER, the best company is PT Pembangunan Graha Lestari Indah Tbk  while the profitability analysis with NPM ratio, the best company in 2014, PT MNC land Tbk, in 2015 PT Pembangunan Jaya Ancol Tbk and 2016 again PT MNC </em><em><em>Land Tbk. If investors see the EPS ratio in 2014 and 2015 we recommend that PT Pembangunan Jaya Ancol Tbk and 2016 PT MNC Land Tbk.</em></em><p><strong><em>Keywords</em></strong><strong><em>: </em></strong><em>Current Ratio, Total Assets Turn Over, Total Debt to Equity Ratio, Net Profit Margin, Earning per Share</em>.</p></div>


Author(s):  
Sophira Alifiana ◽  
Novi Permata Indah

The cosmetics and household goods sub-sector is a member of a consumer goods industry sector listed on the Indonesia Stock Exchange. Companies need profitability ratios, to measure effectiveness in earning profits. High profitability is an indicator that the company tends to be in good condition, this makes investors respond positively and increases the value of the company. This study aims to describe and measure how much influence the debt to asset ratio, debt to equity ratio and total assets turnover have on the return on assets of the cosmetics and household goods sub-sector companies for the 2016-2019 period. Sampling was done by using purposive sampling method. The data analysis technique used in this study is multiple linear regression using SPSS 25 software. The results of this study debt to asset ratio and debt to equity ratio have no significant effect on return on assets. While total assets turnover has a positive and significant effect on return on assets.


2017 ◽  
Vol 24 (1) ◽  
pp. 54-70
Author(s):  
Hasanah Setyowati ◽  
Riyanti Ningsih

This study aimed to obtain empirical evidence on the influence of fundamental factors, systematic risk and macroeconomics on the returns Islamic stock of companies incorporated in the Jakarta Islamic Index in 2010-2014. The variables used were the fundamental factors that are proxied by Earning Per Share (EPS), Return on Equity (ROE), Debt to Equity Ratio (DER); Systematic risk is proxied by Beta Shares; macroeconomic factors is proxied by the inflation rate and the exchange rate. The samples of this study are the enterprises incorporated in Jakarta Islamic Index (JII) at the Indonesian Stock Exchange. The sampling method was using purposive sampling. There were 12 samples of Islamic stocks that meet the criteria to be used as samples. The analysis model used is multiple linear regression techniques and the type of data used is secondary data. The study found that all variables, which are Earning Per Share (EPS), Return on Equity (ROE), Debt to Equity Ratio (DER), Beta stock, inflation and the exchange rate do not significantly affect the return of sharia stock either simultaneously or partially.


Liquidity ◽  
2017 ◽  
Vol 6 (1) ◽  
pp. 1-11
Author(s):  
Nurlis Azhar ◽  
Helmi Chaidir

This study was conducted to examine the effect of Free Cash Flow Ratio, Debt Equity Ratio (DER), Institutional Ownership, Employee Welfare and Price Earning Ratio (PER) to Divident Payout Ratio (Parliament) partially on manufacturing companies listed on Indonesia Stock Exchange period 2011-2015. In addition, to test the feasibility of regression model, the influence of Free Cash Flow Ratio, Debt Equity Ratio (DER), Institutional Ownership, Employee Welfare and Price Earning Ratio (PER) to Divident Payout Ratio (DPR) simultaneously at manufacturing company listed on Bursa Indonesia Securities period 2011-2015. The population in this study are 146 manufacturing companies that have been and still listed in Indonesia Stock Exchange period 2011-2013. The sampling technique used was purposive sampling and obtained sample of 42 companies. Data analysis technique used is by using multiple linear regression test. The results showed that Free Cash Flow Ratio, no significant effect on Divident Payout Ratio (DPR). Debt Equity Ratio (DER) has a negative and significant influence on Divident Payout Ratio (DPR), Institutional Ownership has a significant positive effect on Divident Payout Ratio (DPR), Employee Welfare and Price Earning Ratio (PER) has a positive and significant influence on the Divident Payout Ratio ). Simultaneously Free Cash Flow Ratio, Debt Equity Ratio (DER), Institutional Ownership, Employee Welfare and Price Earning Ratio (PER) give effect to Divident Payout Ratio. The prediction ability of the five variables to the Divident Payout Ratio (DPR) is 21.3% as indicated by the adjusted R square of 0.271 while the remaining 79.7% is influenced by other factors not included in the research model.


Author(s):  
Sudirman S ◽  
Muhammad Wahyuddin Abdullah ◽  
Muhammad Obie

This study examined the effect of current ratio and debt to asset ratio on net profit margin and stock prices of the sector basic industry and chemicals companies listed on the Indonesia Stock Exchange in the period 2015-2019. The object of research was the stock prices of companies in the Basic Industry and Chemicals sector, which have been published through the official website of the Indonesian capital market. It was used secondary data derived from the monthly statistics, including Current Ratio data, Net Profit Margin, Debt to Asset Ratio, and data on closing prices for the period 2015-2019. In analyzing data, it was used path analysis of secondary data obtained from the basic industry sector financial statements of 60 companies. The company's performance in this sector is considered quite good when seen from the movement of the index value in the last five years. The results show that direct current ratio had a positive and significant effect on the net profit margin, and the debt to equity ratio did not significantly influence the net profit margin. The current ratio has a positive and significant effect on stock prices, and the debt to equity ratio has a negative and not significant effect on stock prices. In contrast, the net profit margin has a significant effect on stock prices in the basic industry sector companies on the Indonesia Stock Exchange. Indirectly the current ratio has a positive and significant effect on stock prices. In contrast, the debt to asset ratio has a negative and not significant effect on the company's stock prices in the basic industry sector on the Indonesia Stock Exchange.


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