scholarly journals Fiscal Pressure as a Trigger of Financial Performance for the Energy Industry: An Empirical Investigation across a 16-Year Period

Energies ◽  
2021 ◽  
Vol 14 (13) ◽  
pp. 3769
Author(s):  
Larissa Batrancea ◽  
Mircea Iosif Rus ◽  
Ema Speranta Masca ◽  
Ioan Dan Morar
Keyword(s):  
Financial Performance ◽  
Negative Impact ◽  
Positive Impact ◽  
Time Frame ◽  
Energy Industry ◽  
Company Performance ◽  
Economic Activities ◽  
Return On Equity ◽  
State Budgets ◽  
Fiscal Pressure

Taxation exerts pressure on the economic activities of all companies, including economic entities that operate in the energy industry. This study examined the degree to which fiscal pressure influenced the financial performance of 88 publicly listed companies from the energy industry during a time frame of 16 years (2005Q1–2020Q3). By modelling financial data from the oil, gas and electricity sectors with panel data techniques, our results showed that fiscal pressure had a significant effect on the evolution of company financial performance measured by return on assets, return on equity and return on investment. The study revealed that fiscal pressure had a more positive impact on the financial performance of energy companies than a negative impact. This conclusion is important for overall taxation in the energy industry since corporate taxes, excise duties and mandatory labor contributions are basic resources for state budgets. Our empirical results imply important research directions on the prospect of analyzing company performance.

scholarly journals Effects of E-Banking Adoption on the Financial Performance of State-Owned Commercial Banks in Bangladesh

2021 ◽  
Vol 34 (4) ◽  
pp. 1-20
Author(s):  
Md. Imran Hossain
Keyword(s):  
Financial Performance ◽  
Commercial Banks ◽  
Negative Impact ◽  
Positive Impact ◽  
Least Square ◽  
Return On Assets ◽  
Return On Equity ◽  
Net Interest Margin ◽  
Adoption And Implementation ◽  
Significant Negative Impact

This study examines the relationship between e-banking adoption and the financial performance of state-owned commercial banks in Bangladesh. The pooled ordinary least square (OLS) estimate was applied to analyze the panel data of the sample banks. The empirical findings reveal that e-banking adoption and implementation has a significant negative impact on banks' profitability in terms of return on assets, return on equity, and net interest margin in the year of adoption. However, the result also shows that e-banking has a significant positive impact on return on assets in the year following adoption.

scholarly journals THE ANALYSIS OF FIRM FINANCIAL PERFORMANCE INFLUENCE TOWARDS ECO-INNOVATION ON INDONESIAN CONSUMER GOODS COMPANIES

2018 ◽  
Vol 2 (1) ◽  
pp. 61
Author(s):  
Diah Permata Sari ◽  
Retno Kusumastuti
Keyword(s):  
Financial Performance ◽  
Consumer Goods ◽  
Negative Impact ◽  
Positive Impact ◽  
Stock Exchange ◽  
Return On Equity ◽  
Firm Financial Performance ◽  
Innovation Activities ◽  
Total Observation ◽  
Logit Regression Model

Study about eco-innovation in Indonesia still very rare due to regulation that relatively new in governance of the firm. This paper elaborates the correlation between proxy of eco-innovation and financial firm performance. Eco-innovation is a term that refers to innovation activities conducted by the firm with ecological perspective based. Deductive methodology is being used to confirmatory the correlation between variables. This research examines the influence of firm financial performance towards eco-innovation. In particular, this research discusses firm financial performance which proxies by Return on Asset (ROA), Return on Equity (ROE), and Earning Retention Ratio (ERR) that could affects firms on making a decision about Eco-Innovation. This research used 155 firm years observation that consist of 31 consumer goods companies listed in Indonesian Stock Exchange during the period 2011-2015. From the total observation showed that 75 firm years perform Eco-Innovation and 80 firm years did not perform Eco-Innovation. The test is conducted by using logit regression model. The results of this study are ROA has a significant and negative impact toward Eco-Innovation, ROE has a significant positive impact on Eco-Innovation, and ERR has no significant impact on Eco-Innovation.

scholarly journals Power Imbalance and the Dark Side of the Captive Agri-food Supplier–Buyer Relationship

2021 ◽  
Author(s):  
Richard Glavee-Geo ◽  
Per Engelseth ◽  
Arnt Buvik
Keyword(s):  
Financial Performance ◽  
Negative Impact ◽  
Positive Impact ◽  
Dark Side ◽  
Curvilinear Relationship ◽  
Power Imbalance ◽  
Negative Consequences ◽  
Key Informants ◽  
Economic Satisfaction

AbstractThis paper highlights the dark side of power imbalance regarding its consequences in agri-food supplier–buyer relationships. We report on findings from two studies. The first study is based on a sample of 105 key informants, while study 2 is based on a sample of 444 key informants, all from the cocoa agri-food supply market of Ghana. While the first study focuses on the antecedents of power imbalance and its consequences, the second study explores the role of cooperatives/collective action in minimizing supplier exploitation. Data from these studies were analysed using the partial least squares technique (SmartPLS). Analysis of these findings shows switching costs’ impact on power imbalance to be curvilinear, while power imbalance has a curvilinear relationship with opportunism. The negative consequences of power imbalance are further exacerbated by dependency and the lack of joint action. Furthermore, we found the negative impact of power imbalance on financial performance to be stronger for non-cooperative members than for cooperative members, while, counterintuitively, we found the positive impact of economic satisfaction on financial performance to be stronger for non-cooperative members than for cooperative members.

scholarly journals The Effect of Enterprise Risk Management (ERM) on Firm Performance: Evidence from the Diversified Industry of Sri Lanka

2018 ◽  
Vol 10 (1) ◽  
pp. 75
Author(s):  
Kingsley Karunaratne Alawattegama
Keyword(s):  
Firm Performance ◽  
Sri Lanka ◽  
Empirical Evidence ◽  
Negative Impact ◽  
Positive Impact ◽  
Enterprise Risk Management ◽  
Performance Information ◽  
Return On Equity ◽  
Enterprise Risk ◽  
And Control

The objective of this empirical study is to explore the effect of the adoption of ERM on the performance of the diversified industry of Sri Lanka. The extent of the adoption of ERM is assessed based on eight ERM functions recognized by the ERM integrated framework of the committee of sponsoring organization of the Treadway Commission and use return on equity as a proxy to measure firm performance. This study finds ERM supportive internal environment, risk-aligned objective setting, event identifications, and risk response have a positive impact on firm performance. However, none of those impacts were statistically significant. Surprisingly, empirical evidence reveals that risk assessment and control activities have a negative impact on the firm performance. Information & communication and monitoring functions indicate a significant impact on firm performance. Nevertheless, monitoring function shows a negative impact on the firm performance. The researcher believes this negative impact is attributable to the increased cost of monitoring activities that is crucial for a diversified business setup. This empirical evidence induces the researcher to conclude that, except for communication and monitoring, the adoption of ERM has no significant impact on the firm performance. These findings are contradictory with the findings of prior researchers.

scholarly journals PENGARUH GOOD CORPORATE GOVERNANCE TERHADAP NILAI PERUSAHAAN DENGAN PROFITABILITAS SEBAGAI VARIABEL INTERVENING (Studi Pada Perusahaan Perbankan Di Bursa Efek Indonesia)

2018 ◽  
Vol 5 (2) ◽  
pp. 45-58
Author(s):  
G. A Sri Oktaryani ◽  
I Nyoman Nugraha Ardana P ◽  
Iwan Kusuma Negara ◽  
Siti Sofiyah ◽  
I Gede Mandra
Keyword(s):  
Corporate Governance ◽  
Firm Value ◽  
Stock Price ◽  
Banking Sector ◽  
Negative Impact ◽  
Positive Impact ◽  
Stock Exchange ◽  
Return On Equity ◽  
Good Corporate Governance ◽  
Significant Direct Effect

This research examines the effect of Good Corporate Governance (GCG) on firm value by using profitability as intervening variable.  Profitability is proxied by Return On Asset (ROA) and Return On Equity (ROE). This study used a quantitative approach and path analysis. The population consists of 35 firms that were listed in Banking sector of Indonesian Stock Exchange over period 2013 – 2015. There are 34 firms are choosen as samples which has published GCG composit index throughout observation years and has not done corporate action that could affect the stock price directly. The findings show that GCG has positive and significant direct effect on firm value. Furthermore, ROA has positive impact on firm value; meanwhile ROE has negative impact on firm value. The results also show that the better the implementation of GCG the higher the Return on Asset. Moreover, the indirect effect of GCG on firm value through profitability is not significant. Keywords: GCG, profitability, ROA, ROE, firm value.

scholarly journals Peran Islamic Corporate Social Responsibility dalam Memoderasi Pengaruh Zakat Terhadap Kinerja Bank Umum Syariah

2021 ◽  
Vol 9 (1) ◽  
pp. 73-89
Author(s):  
Sartini Wardiwiyono ◽  
◽  
Arty Fitria Jayanti ◽  
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Negative Impact ◽  
Positive Impact ◽  
Annual Reports ◽  
Observation Data ◽  
Islamic Banks ◽  
Corporate Social

The aim of this study is to investigate the role of Islamic Corporate Social Responsibility in moderating the effect of zakat on Islamic commercial banks’ financial performance. Out of 13 Islamic commercial bank listed by Otoritas Jasa Keuangan from 2012 to 2017, there were only five banks reporting Statement of Zakat Fund Sources and Disbursements. Hence, the final samples of this study consist of 30 observation data. Secondary data collected from 30 annual reports were gathered through documentation. This study utilizes moderated regression analysis to test three research hypotheses. The results shows several findings. Firstly, the amount of corporate zakat being reported in the Statement of Zakat Fund Sources and Disbursements has positive impact on Islamic banks’ financial performance. Secondly, Islamic CSR as measured by Islamic reporting index developed by Belal et al. (2015) has negative impact on Islamic Banks’ financial performance. Thirdly, the role of Islamic CSR in moderating the effect of zakat on financial performance was confirmed.

scholarly journals The effect of business strategies on financial performance – An applied study on Saudi joint stock companies –: أثر استراتيجيات الأعمال على الأداء المالي – دراسة تطبيقية على الشركات المساهمة السعودية –

2021 ◽  
Vol 5 (17) ◽  
pp. 166-146
Author(s):  
Tariq Hassan Alzahran Tariq Hassan Alzahran
Keyword(s):  
Financial Performance ◽  
Negative Impact ◽  
Positive Impact ◽  
Business Strategies ◽  
Survey Method ◽  
Financial Reports ◽  
Differentiation Strategy ◽  
Industrial Companies ◽  
Comprehensive Survey ◽  
The Impact

The study aimed to identify the impact of business strategies on financial performance in Saudi joint stock companies, and used the descriptive analytical method, and the study community is of all the industrial companies listed on the Saudi capital market and the 81 companies, and the sample of the study became after excluding companies whose data are not available during the study period (73) companies. Corporate financial reports were collected from 2010 to 2019, and the data was analysed using Panel data, based on the statistical method represented in the Multi- Regression. The comprehensive survey method of industrial companies in Saudi Arabia was used, and the study found that there was no impact of the product differentiation strategy on the financial performance of Saudi industrial companies, and that there was no impact of the cost leadership strategy on the financial performance of Saudi industrial companies. The size of the company also has a positive impact on the rate of return on ownership, leverage negatively affects financial performance, and the company's life has a negative impact on financial performance. The study recommends future studies to increase the size of the sample and study all Saudi companies to ascertain the impact of business strategies on the performance of companies, and recommended companies to reduce indebtedness and leverage, so that the strategies provided by serving companies in raising financial performance, and working on the application of strategies in a scientific manner so that they have a positive impact on the performance of companies.

Corporate governance and performance of medium-sized firms in Nigeria: does sustainability initiative matter?

2020 ◽  
Vol 20 (3) ◽  
pp. 401-427
Author(s):  
Babatunji Samuel Adedeji ◽  
Tze San Ong ◽  
Md Uzir Hossain Uzir ◽  
Abu Bakar Abdul Hamid
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Financial Reporting ◽  
Structural Equation ◽  
Negative Impact ◽  
Positive Impact ◽  
Mediating Effect ◽  
Content Type ◽  
And Performance ◽  
The Relationship

Purpose The non-existence of the corporate governance (CG) concept for practices by non-financial medium-sized firms (MSFs) in Nigeria informed. This study aims to determine whether CG practices influence firms’ performance and whether sustainability initiative (SI) mediates the relationship between CG and MSFs’ performance in Nigeria. Design/methodology/approach A total of 300 firms were selected on convenience sampling basis from South Western Nigeria using a structured questionnaire. The authors used Statistical Package for Social Sciences for exploratory data analysis and hypotheses were tested using covariance-based structural equation modelling. Findings The results show that CG has a significant positive effect on performance [financial performance (FNP) and non-financial performance (NFP)] and SI. SI has a mixed impact on performance, e.g. a significant positive impact on NFP but insignificant negative impact on FNP. Similarly, SI has a combined mediating effect in the relationship between CG and performance, e.g. fully mediates CG → NFP and does not mediate CG → FNP. Firms are to invest in social and environmental initiatives substantially. CG codes will complement the International Financial Reporting Standards for MSFs. Research limitations/implications This study supports the assumptions of theories (institutional, stakeholder and agency) as the basis for the usage of multiple approaches to determine the outcome of hypotheses, especially in developing climes. Practical implications The study contributes to CG and performance literature by examining the mediating effects of SI. The paper also shows the necessity to emphasise NFP aspect. Policymakers should evolve CG codes to encourage stakeholders to believe more in the corporate existence of MSFs for strengthening capital-base and quality personnel engagement. Originality/value To the best of the authors’ knowledge, this is one of the first empirical attempts showing the evidence on the relationship between CG and NFP in Nigeria.

scholarly journals The Impact of Liquidity Risk Management on the Financial Performance of Saudi Arabian Banks

2021 ◽  
Vol 11 (1) ◽  
pp. 67-75
Author(s):  
Ishaq Hacini ◽  
Abir Boulenfad ◽  
Khadra Dahou
Keyword(s):  
Risk Management ◽  
Financial Performance ◽  
Fixed Effects ◽  
Negative Impact ◽  
Control Variable ◽  
Liquidity Risk ◽  
Saudi Arabian ◽  
Return On Equity ◽  
Conventional Banks ◽  
The Impact

This paper aims to analyze the impact of liquidity risk management on the financial performance of selected conventional banks in Saudi Arabia for the period of 2002-2019. Liquidity risk is measured with the loan to deposit ratio (LTD) and cash to deposit ratio (CTD). Financial performance is measured by the Return on Equity (ROE). Equity to total asset ratio (ETA) is used as the control variable. The study uses the panel data method (Pool, Fixed-effects and Random-effects) for testing the study hypothesis. The results show that liquidity risk has a significant negative impact on the financial performance measured by Saudi Arabian banks.

scholarly journals Analisis NPM, ROA, dan ROE dalam Mengukur Kinerja Keuangan

2019 ◽  
Vol 28 (02) ◽  
pp. 254-266
Author(s):  
Slamet Heri Winarno
Keyword(s):  
Financial Performance ◽  
Balance Sheet ◽  
Financial Statement ◽  
Company Performance ◽  
Return On Assets ◽  
Return On Equity ◽  
Average Ratio ◽  
Profitability Analysis ◽  
Income Statement ◽  
Net Profit

This research aims to determine the financial performance of an expedition company based on company profitability analysis. Indicators of profitability used include the ratio of Net Profit Margin (NPM), Return On Assets (ROA) and Return On Equity (ROE) in 2016 to 2018. Assessment of company performance is done by comparing the rentability ratio with the average ratio Industry and Bank Indonesia standards. The data used are financial statement data that is balance sheet and income statement report for year 2014 until 2016. Result of research indicate that overall rentability performance show good value, but compared with industry average performance of NPM year 2014 show less result Good, while ROA and ROE performance during 2015 and 2016 has not shown satisfactory results because it is below the industry average. Overall financial performance of the company can be said good.

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