Factors influencing the financial performance of listed property companies in Malaysia

The research aims to examine the effect of leverage, firm size, asset growth (growth opportunities), and liquidity on the financial performance of listed property companies in Malaysia from 2005 until 2018. Firm performance is measured by return on assets (ROA), return on equity (ROE) and Tobin’s Q...

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Main Author:	Sim, Khim Teing
Format:	Thesis
Language:	eng eng eng eng
Published:	2020
Subjects:	HG Finance
Online Access:	https://etd.uum.edu.my/10340/1/depositpermission-not%20alow_s823642.pdf https://etd.uum.edu.my/10340/2/s823642_01.pdf https://etd.uum.edu.my/10340/3/s823642_02.pdf https://etd.uum.edu.my/10340/4/references_s823642.docx
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id	my-uum-etd.10340
record_format	uketd_dc
spelling	my-uum-etd.103402023-03-01T04:09:05Z Factors influencing the financial performance of listed property companies in Malaysia 2020 Sim, Khim Teing Wong, Woei Chyuan School of Economics, Finance & Banking School of Economics, Finance & Banking HG Finance The research aims to examine the effect of leverage, firm size, asset growth (growth opportunities), and liquidity on the financial performance of listed property companies in Malaysia from 2005 until 2018. Firm performance is measured by return on assets (ROA), return on equity (ROE) and Tobin’s Q ratio. This research finds firm size, asset growth and liquidity (cash holdings) to be positive and significantly related to individual firms’ operating performance measured by ROA and ROE. These findings are consistent with the prediction of financial distress where firms that are larger in size, more liquid and experience greater growth opportunities are associated with higher operating profits. Leverage on the other hand is negative and significantly related to ROA and ROE. These findings are consistent with the prediction of trade-off theory where firm’s trade-off between the tax shield benefits and bankruptcy costs from using debt. Similarly, liquidity and asset growth variables are found to be positive and significantly related firm valuation measured by Tobin’s Q ratio. Interestingly, firm size and debt ratio are found to be negative and positively related to Tobin’s Q. These findings are contrary to the findings from ROA and ROE equations. 2020 Thesis https://etd.uum.edu.my/10340/ https://etd.uum.edu.my/10340/1/depositpermission-not%20alow_s823642.pdf text eng staffonly https://etd.uum.edu.my/10340/2/s823642_01.pdf text eng staffonly https://etd.uum.edu.my/10340/3/s823642_02.pdf text eng staffonly https://etd.uum.edu.my/10340/4/references_s823642.docx text eng public other masters Universiti Utara Malaysia
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng eng eng
advisor	Wong, Woei Chyuan
topic	HG Finance
spellingShingle	HG Finance Sim, Khim Teing Factors influencing the financial performance of listed property companies in Malaysia
description	The research aims to examine the effect of leverage, firm size, asset growth (growth opportunities), and liquidity on the financial performance of listed property companies in Malaysia from 2005 until 2018. Firm performance is measured by return on assets (ROA), return on equity (ROE) and Tobin’s Q ratio. This research finds firm size, asset growth and liquidity (cash holdings) to be positive and significantly related to individual firms’ operating performance measured by ROA and ROE. These findings are consistent with the prediction of financial distress where firms that are larger in size, more liquid and experience greater growth opportunities are associated with higher operating profits. Leverage on the other hand is negative and significantly related to ROA and ROE. These findings are consistent with the prediction of trade-off theory where firm’s trade-off between the tax shield benefits and bankruptcy costs from using debt. Similarly, liquidity and asset growth variables are found to be positive and significantly related firm valuation measured by Tobin’s Q ratio. Interestingly, firm size and debt ratio are found to be negative and positively related to Tobin’s Q. These findings are contrary to the findings from ROA and ROE equations.
format	Thesis
qualification_name	other
qualification_level	Master's degree
author	Sim, Khim Teing
author_facet	Sim, Khim Teing
author_sort	Sim, Khim Teing
title	Factors influencing the financial performance of listed property companies in Malaysia
title_short	Factors influencing the financial performance of listed property companies in Malaysia
title_full	Factors influencing the financial performance of listed property companies in Malaysia
title_fullStr	Factors influencing the financial performance of listed property companies in Malaysia
title_full_unstemmed	Factors influencing the financial performance of listed property companies in Malaysia
title_sort	factors influencing the financial performance of listed property companies in malaysia
granting_institution	Universiti Utara Malaysia
granting_department	School of Economics, Finance & Banking
publishDate	2020
url	https://etd.uum.edu.my/10340/1/depositpermission-not%20alow_s823642.pdf https://etd.uum.edu.my/10340/2/s823642_01.pdf https://etd.uum.edu.my/10340/3/s823642_02.pdf https://etd.uum.edu.my/10340/4/references_s823642.docx
_version_	1776103795021840384

Factors influencing the financial performance of listed property companies in Malaysia

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