The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia

This study examines the impacts of working capital management on profitability of 31 listed transportation and logistics companies in Malaysia from year 2014 to 2018. Sample from same timeframe and industry in Singapore has collected and examined for the purpose of comparative analysis and better un...

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Main Author:	Tan, Chia Li
Format:	Thesis
Language:	eng eng eng eng
Published:	2020
Subjects:	HG Finance HJ Public Finance
Online Access:	https://etd.uum.edu.my/10408/1/grant%20the%20permission_s823583.pdf https://etd.uum.edu.my/10408/2/s823583_01.pdf https://etd.uum.edu.my/10408/3/s823583_02.pdf https://etd.uum.edu.my/10408/4/s823583_references.docx
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id	my-uum-etd.10408
record_format	uketd_dc
spelling	my-uum-etd.104082023-03-15T02:40:47Z The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia 2020 Tan, Chia Li Kesayan, Puspakaran School of Economics, Finance & Banking School of Economics, Finance & Banking HG Finance HJ Public Finance This study examines the impacts of working capital management on profitability of 31 listed transportation and logistics companies in Malaysia from year 2014 to 2018. Sample from same timeframe and industry in Singapore has collected and examined for the purpose of comparative analysis and better understanding on how working capital management functioned within transportation and logistics industry. This study has applied Random Effects GLS regression to investigate the relationship between the working capital management and profitability of firms. In this case, the firms profitability is measured by Return of Equity (ROE) ratio. The profitability of firms is investigated though account receivables management, inventory management, account payables management and cash conversion cycle. Fixed financial assets and financial debts also applied to examine their effects on profitability of firms. The result of this study shows that working capital components are negatively related with the profitability of firms. Fixed financial assets and financial debts are not significant, hence concluded that they have no influences on the profitability of firms. The results indicate short duration of account receivables turnover, inventories turnover and account payables turnover can bring higher profitability to firms. By examining the working capital management of transportation and logistics companies, readers could understand the relationship of liquidity and profitability in this industry. This study also suggests not to forget the shifting patterns of transportation and logistics industry which may directly affect the profitability of the industry. 2020 Thesis https://etd.uum.edu.my/10408/ https://etd.uum.edu.my/10408/1/grant%20the%20permission_s823583.pdf text eng staffonly https://etd.uum.edu.my/10408/2/s823583_01.pdf text eng staffonly https://etd.uum.edu.my/10408/3/s823583_02.pdf text eng public https://etd.uum.edu.my/10408/4/s823583_references.docx text eng public other masters Universiti Utara Malaysia
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng eng eng
advisor	Kesayan, Puspakaran
topic	HG Finance HJ Public Finance
spellingShingle	HG Finance HJ Public Finance Tan, Chia Li The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia
description	This study examines the impacts of working capital management on profitability of 31 listed transportation and logistics companies in Malaysia from year 2014 to 2018. Sample from same timeframe and industry in Singapore has collected and examined for the purpose of comparative analysis and better understanding on how working capital management functioned within transportation and logistics industry. This study has applied Random Effects GLS regression to investigate the relationship between the working capital management and profitability of firms. In this case, the firms profitability is measured by Return of Equity (ROE) ratio. The profitability of firms is investigated though account receivables management, inventory management, account payables management and cash conversion cycle. Fixed financial assets and financial debts also applied to examine their effects on profitability of firms. The result of this study shows that working capital components are negatively related with the profitability of firms. Fixed financial assets and financial debts are not significant, hence concluded that they have no influences on the profitability of firms. The results indicate short duration of account receivables turnover, inventories turnover and account payables turnover can bring higher profitability to firms. By examining the working capital management of transportation and logistics companies, readers could understand the relationship of liquidity and profitability in this industry. This study also suggests not to forget the shifting patterns of transportation and logistics industry which may directly affect the profitability of the industry.
format	Thesis
qualification_name	other
qualification_level	Master's degree
author	Tan, Chia Li
author_facet	Tan, Chia Li
author_sort	Tan, Chia Li
title	The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia
title_short	The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia
title_full	The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia
title_fullStr	The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia
title_full_unstemmed	The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia
title_sort	impact of working capital management on profitability of listed transportation and logistics companies in malaysia
granting_institution	Universiti Utara Malaysia
granting_department	School of Economics, Finance & Banking
publishDate	2020
url	https://etd.uum.edu.my/10408/1/grant%20the%20permission_s823583.pdf https://etd.uum.edu.my/10408/2/s823583_01.pdf https://etd.uum.edu.my/10408/3/s823583_02.pdf https://etd.uum.edu.my/10408/4/s823583_references.docx
_version_	1776103810550202368

The impact of working capital management on profitability of listed transportation and logistics companies in Malaysia

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