Profit Growth Research Articles

The effect of financial flexibility on profitability and sustainable growth rate in the Corona pandemic era: Evidence from Egyptian stock market

The effect of financial flexibility on profitability and sustainable growth rate in the Corona pandemic era: Evidence from Egyptian stock market

Public-private partnerships in the agricultural sector

The levels of management in the field of agriculture were systematized, a comparative ana­lysis of the international experience of management in the agrarian sphere was carried out (on the example of Germany and Italy). The current trends in digitalization of agricultural management in the world, as well as tasks and challenges of digitalization in Ukraine were described. The hypothesis of the research is that the implementation of digital solutions in the Ukrainian agricultural sector will increase the efficiency of management, especially in the condi­tions of military challenges. Methodo­logically, the research is based on the analysis of policies, strategic plans, scientific works and other sources related to management in the field of agriculture, taking into account the impact of digital techno­logies. The centralized manage­ment model in the development of the agricul­tural sector still dominates in European coun­tries. However, the EU current policy in the field of regional development provides for the transfer of as many management functions as possible to the region­nal level. This approach is also characteristic of the national model of agricultural development policy. The most important and effective tool for the modernization of any of the known management systems in the modern world is their digitali­zation. Digitization of management in the agricu­ltural industry at all levels, from the state to small agribusiness entities, is no exception. The further digital transformation of manage­ment in national agriculture represents a higher level of digital integration, which affects the most complex organi­zational changes in the structures of state admi­nistration and agribusi­ness. The results of the implementation of these tasks can significantly affect the growth of profits in the agricultural business and the competitiveness of products, which will allow the agricultural industry to reach modern global technological boundaries

Maximizing Profit Growth: How Net Profit Margin And Return On Assets Interact With Firm Size

This study aims to analyze the effect of net profit margin and return on assets on profit growth by adding firm size as a moderating variable in property and real estate companies listed on the Indonesia Stock Exchange. The population in this study comprises property and real estate companies listed on the Indonesia Stock Exchange from 2019 to 2023. The sampling technique is determined using purposive sampling based on criteria set by the researchers, resulting in a sample of 52 property and real estate companies. Panel data regression and moderated regression analysis (MRA) are used to analyze the data. The results of this study indicate that the net profit margin variable does not affect profit growth, while return on assets has a significant effect on profit growth. Furthermore, firm size can moderate the effect of net profit margin on profit growth. However, firm size cannot moderate the effect of return on assets on profit growth. Based on the results of this study, it is expected that future researchers can add other factors that may influence profit growth. In selecting moderating variables, it is hoped that future researchers will choose appropriate moderating variables to strengthen profit growth.

Digitalization of Mining Enterprise: A Key Factor in Ensuring Economic Security

The level of competitiveness of mining companies is primarily determined by productivity and operational excellence. Digitalization is becoming a key factor that enables companies in this industry to remain competitive in the future. In the mining industry, the transition to new and better ways of working has been slow due to the scale and complexity of production processes, as well as the significant costs of modernization. As a result, some enterprises are not actively implementing digital technologies. However, leading global and Kyrgyz mining companies are actively investing in the development of modern technologies in the field of energy and automation in order to increase production volumes, improve environmental efficiency, reduce the use of manual labor, costs and energy consumption. It is obvious that digital technologies open new opportunities for a significant increase in labor productivity and profit growth. The article discusses the main directions of digital transformation of mining enterprises, reveals the key advantages and potential threats. The author analyses both foreign and Kyrgyz examples of effective digitalization in this industry.

Integrated Pricing and Inventory Decisions for Product Quality-Driven Extended Warranty Services

Extended warranty services have become increasingly important for both manufacturers and retailers, offering avenues for new profit sources and growth opportunities. Focusing on the multiple effects of product quality, this study develops a two-period supply chain decision model to analyze the effects of product quality, pricing, and inventory management in the context of extended warranty services. Using a Stackelberg dynamic game model, this study examines the interaction between a manufacturer and a dominant retailer who provides extended warranties. The results indicate significant differences in optimal decisions between centralized and decentralized supply chains, especially concerning pricing and inventory control. Introducing a “quality cost-sharing” contract enhances product quality and improves coordination, leading to increased profits for both the manufacturer and the retailer. Numerical simulations confirm that the cost-sharing contract effectively balances product quality improvements with supply chain profitability.

Exploring the factors of enabling environments for business investment projects in rural communities: stakeholders’ perspectives

In recent years, the local economic development (LED) planning paradigm has gained widespread acceptance worldwide as a locality-based response to the challenges posed by globalization, devolution, and local-level opportunities and challenges. Noticeably, governments in the Global South are seen to be supporting linkage policies that directly couple profitable growth and investment with redistribution and community development in rural-based localities. To attract potential investors to circulate more resources within the local rural communities, local governments must ensure that the local investment climate (LIC) is functional for business investment. Unlike in urban areas, rural localities, by their nature of periphery location from economic development nodes, prospective business investment projects (BIPs) are often faced with delays and uncertainty. This is mainly because the factors underlying the enabling environments for business investment in rural localities are poorly understood and based on speculation. Against this backdrop, this study therefore set out to explore and unveil the key factors that are fundamental for ensuring a conducive and functional local investment climate (LIC) in rural communities. Through a qualitative case study approach with the application of a conventional content analysis method, performed with coding methods, the study unveiled five key factors presented in a thematic approach. Namely, market and customer needs; government and regulatory support; access to infrastructure and services; land availability and zoning; and participatory community engagement. Understanding these fundamental factors that underpin conducive and operational investment environments is important for viable business decision-making in the feasibility study of investment projects toward LED in rural communities.

Does Company Size and Profitability Matter? Investigating the Moderating Effects of Growth in Cash Flow on Stock Performance

This research examines the intricate relationships between company size, growth in cash flow, and stock performance, revealing complexities that challenge traditional financial analysis. While company size is often associated with stable stock performance due to advantages such as economies of scale and market power, the findings indicate that size alone does not positively impact stock performance. Furthermore, the study demonstrates that growth in cash flow does not significantly moderate the relationship between company size and stock performance. This suggests that external factors, such as regulatory changes or market sentiment, may play a more decisive role. The results underscore that cash flow, while an important indicator of financial health, does not enhance the influence of company size on stock performance, particularly in certain industries where external conditions prevail. This underscores the need for a more comprehensive evaluation approach that considers a broader range of factors when assessing stock performance. It's time to move beyond traditional metrics like profitability and cash flow growth and equip ourselves with a more robust set of tools for analysis. Ultimately, this research advocates for a multifactorial approach to stock performance evaluation, emphasizing the importance of understanding the interplay between various variables, including industry trends and macroeconomic conditions. By adopting this comprehensive perspective, investors and analysts can make more informed decisions and strategies, enhancing their ability to navigate the complexities of the financial markets.

<b>Performance Dynamics of Male and Female Entrepreneurs in Pakistan: A Qualitative Comparison</b>

In recent years, focus on women entrepreneurship has increased and women are encouraged to perform an active economic role in the modern societies. However, it has been argued that women owned and operated entrepreneurial ventures exhibit poor performance, raising questions on the entrepreneurial potential of the women. Another line of argument highlight that women are different than men, leading them to have different entrepreneurial aspirations. Considering this theoretical premise, this study adopts a social role perspective to explain differences of entrepreneurial performance of women entrepreneurs in Pakistan. By employing a qualitative research design and collecting data from 19 male and female entrepreneurs in Pakistan, this study finds indications that social roles influence the performance orientation of male and female entrepreneurs. It was also found that male entrepreneurs have a more material and financial approach to relate to their entrepreneurial performance as they stressed more on profitability, cash flows, and material growth. On the other hand, female entrepreneurs exhibit a more peoples-oriented approach. They seemed to focus more on their stakeholders like customers, family, employees, and society at large. The study concludes that both male and female entrepreneurs have different performance orientations, and a unidimensional performance comparison of entrepreneurial performance of male and female is futile. Therefore, future practice and research on women entrepreneurship should consider a feminist perspective of entrepreneurial performance, where women entrepreneurs might be interested in self-fulfillment and empowerment and not in material growth or financial outcomes. The scope of this study is delimited to educated women entrepreneurs, living in metropolitan areas of Pakistan.

Assessing cap-and-trade regulation's impact on dual-channel green supply chains under disruption

The rise of online shopping has intensified focus on the dual-channel supply chain, highlighting the need to balance profitability and eco-friendliness under competition and disruptions. This study investigates how cap-and-trade regulations affect the performance of a dual-channel green supply chain amidst disruptions. It explores the interplay between pricing and greening strategies under cap-and-trade conditions and varying market demand disruptions. The model features a Stackelberg game between a manufacturer of eco-friendly products and a retailer, applied to both centralized and decentralized systems. Findings reveal that cap-and-trade regulations affect centralized and decentralized supply chains differently. Centralized systems show higher sensitivity in greenness levels to disruptions compared to decentralized ones. Lower greening cost coefficients lead to higher greenness levels in both models, but centralized systems outperform decentralized ones when cap-and-trade regulations are absent. However, the performance of centralized systems deteriorates significantly during severe disruptions, whereas decentralized systems maintain profitability growth. Additionally, the study finds that increased greening costs reduce the optimal greenness level, impacting wholesale and sale prices. Centralized supply chains exhibit greater variability in carbon emissions and profits under disruption conditions, while decentralized systems show more stability and higher profitability, particularly in severe disruptions. The findings also indicate that a dynamic cap-and-trade system can enhance adaptability and efficiency in managing emissions during disruptions.

The Effect of Return on Asset (ROA) and Net Profit Margin (NPM) on Profit Growth at PT Unilever Indonesia Tbk for the 2005-2023

Examining the "Effect of Return on Asset (ROA) and Net Profit Margin (NPM) on Profit Growth at PT Unilever Indonesia Tbk for the years 2005- 2023" is the main objective of this study initiative. A quantitative technique based on a descriptive associative methodology is used in the investigation. The data utilised in this analysis comes from PT Unilever Indonesia Tbk's annual financial statements, specifically a non- probability sample of 19 years' worth of data from 2005 to 2023. This research used SPSS Version 27.0 to do multiple linear regression analysis. The study found that ROA has a 0.000 significance level, meaning it contributes considerably to Profit Growth. At the 0.012 level of significance, NPM is partly responsible for Profit Growth. The combined effect of ROA and NPM on Profit Growth was statistically significant (0.000) when tested in a F test

Banking Service Technologies as a Tool for Increasing the Efficiency of Interaction with Clients

Introduction. The efficiency of customer service in a commercial bank is inextricably linked with the need to implement modern banking technologies that affect the speed and quality of the service provided. The intensity of development of banking technologies requires a study of their features and application criteria. Purpose of the study. To study the trends in the implementation and development of modern technologies in banking and their impact on the quality of bank customer service. Methods. The study used such general scientific methods as analysis and synthesis, formal and dialectical logic, statistical processing methods, and a systems approach. The object of the study was Sberbank PJSC, a leader in the implementation of modern technologies in the banking market. Results. The article considers the main components of banking technologies. The influence of technologies on the effectiveness of banking services is substantiated. Positive and negative aspects of the implementation of modern banking technologies in the customer service process are highlighted. Modern service technologies used in the banking system when creating a digital infrastructure, regulated by the Central Bank, are highlighted. The trends in the use of modern banking technologies are considered based on the degree of digitalization development in the bank, age preferences, as well as as a result of the impact of the coronavirus pandemic. The performance indicators of Sberbank PJSC as a technological leader in the banking services market are considered. Conclusions. Effective interaction of banks with clients in the context of digital transformation is carried out using modern banking technologies containing many components with appropriate characteristics. Maximizing efforts to use modern technologies contributes to the expansion of the client base and profit growth.

Обеспечение качественного сервиса и поддержание конкурентоспособности предприятий гостеприимства: переосмысление подходов к стимулированию персонала отрасли

Every company, including those in the hospitality industry, faces an important task — finding and using effective approaches to distributing tasks in order to reveal the capabilities of each employee of the company and improve overall productivity. The leading role in increasing productivity is played by activating the interest of employees. Analysis of this area allows us to understand what serves as a stimulus for labor activity and what elements influence decision-making when performing tasks. An effectively designed incentive system is an important resource for management, contributing to increased employee loyalty and growth of the organization's profits. Such a system must be well-thought-out, balanced and really attractive to employees. In the hotel business, such strategies become key due to the specifics of the starting conditions, where employee salaries are often lower than in other industries. This leads to an outflow of qualified specialists and a drop in overall efficiency. However, a well-designed and implemented motivational system can radically change the situation.

PROFITABILITY, LEVERAGE, CARBON EMISSION DISCLOSURE: THE MODERATING ROLE OF PROFIT GROWTH

This research examines the relationship between leverage, profitability, and carbon disclosure in the Indonesia Stock Exchange (IDX) energy industry from 2019 to 2022. As a moderator, this study also examines how profit growth affects the relationship between the three variables. Panel data multiple linear regression analysis served as the method of hypothesis testing. This study analyzes data on energy sector businesses listed on the Indonesia Stock Exchange during 2019–2022, totaling 84 observation periods. The results showed how profitability and leverage significantly negatively impacted carbon disclosure. Profit growth highlights how negatively profitability affects carbon disclosure. However, the relationship between leverage and carbon emission disclosure remains despite revenue increases. The findings provide important insights into the disclosure practices of the energy sector concerning carbon emissions and their impact on environmental sustainability. Based on the study's findings, businesses and pertinent parties should be able to develop policies that support the transition to a more sustainable energy industry.

ECONOMIC AND FINANCIAL SITUATION OF THE FOOD INDUSTRY IN POLAND IN THE YEARS 2019-2023

The aim of the article is to assess the economic and financial situation of the food industry and its main industries in Poland in 2023 compared to 2019. The analysis used the method of synthetic assessment of the financial result developed by Bednarski. A comparative assessment of the dynamics of quantitative and qualitative indicators determining changes in the value of individual production factors and the efficiency of their use was carried out, both for the entire food industry and its main industries. The research was further enhanced by a cause-and-effect analysis of the financial result, which determined the level of influence of individual production factors on the growth of revenues and profit. The study used published and unpublished data from the Central Statistical Office. The synthetic assessment of the financial result of the food industry shows that despite the fact that entities in the audited period faced many challenges, m.in. related to price pressure, their economic and financial situation in 2023 was better than in 2019. In-depth research has shown that the development of the sector took place mainly through the increase in the technical equipment of labor and the improvement of the economic efficiency of the human factor involved in economic activity. Such a situation occurred in most industries (in 13 out of 18 respondents), and only in a few did not improve the net financial result. In the coming years, companies will have to face challenges related to, m.in others, high costs of raw materials and labor, but also the energy transition, which is why achieving sufficiently high processing margins is a priority for enterprises.

Uncovering The Secrets: How Profitability, Firm Size, Earnings Management, And Sales Growth Drive Tax Avoidance In Indonesia's Energy Giants (2018-2022)

Uncovering The Secrets: How Profitability, Firm Size, Earnings Management, And Sales Growth Drive Tax Avoidance In Indonesia's Energy Giants (2018-2022)

Pengaruh Kebijakan Dividen Terhadap Kinerja Keuangan pada PT. Gudang Garam TB

Multinational companies in Indonesia, such as PT Gudang Garam Tbk, with complex financial statements, are interesting subjects for study. The company's capital ownership has increased annually, but this growth has not been accompanied by an increase in profits. The analysis is based on the financial statements of PT Gudang Garam Tbk for the period 2018-2022, using simple regression analysis. In this analysis, the dividend payout ratio, Return On Investment, and Return On Equity are considered as independent variables (x), while financial performance is the dependent variable (y). The study results show an increase in the dividend policy, but a decrease in ROI and ROE. Furthermore, the statistical analysis reveals that the dividend policy has a positive effect on financial performance, while ROI and ROE have a negative impact on financial performance. The findings indicate that the low profit growth is not due to high or low capital, but is instead caused by the return on investment (ROI) and return on capital (ROE) in the form of profit sharing. Hence, it is the return process that leads to declining or low profits.

Intellectual capital as a driver of value creation in Serbian entrepreneurial firms

PurposeThis paper analyses the role of intellectual capital (IC) as a factor of the financial performance of entrepreneurial firms, which are recognized as the main drivers of economic growth and employment.Design/methodology/approachThe sample consists of 188 business owners from Serbia. The primary data are collected using the questionnaire, while the secondary data come from the annual financial statements of their companies. The elements of IC as independent variables are grouped into three components: human, structural and relational capital; sales revenue and operating profit CAGR (5y) are used as dependent variables, while company size and industry type are used as control variables. Statistical analysis involves factor and regression analyses.FindingsThe results reveal that IC components contribute to the long-term financial performance of entrepreneurial firms. Specifically, the following elements have positive effects on financial performance: knowledge of the entrepreneur, process improvement and organisational culture. On the other hand, entrepreneurs’ social skills and tenacity were found to have a negative impact on revenue and operating profit growth, while support from informal networks had a negative effect on the growth of sales revenue.Originality/valueThis study aims to fill a gap in the literature on the impact of IC on the financial performance of entrepreneurial firms.

Indonesian Islamic Banks’ Post-Pandemic Profitability Alignment with Sustainability Goals

Purpose — The Islamic banking sector in Indonesia has recovered from the COVID-19 pandemic. Despite the sector’s resilience to the crisis, Islamic banks have lower levels of profitability than their conventional counterparts. They therefore need to optimise profitability as well as implement sustainability practices due to their high reliance on income from intermediary functions and their core principle of protecting life and preventing harm. This study aims to optimise the post-pandemic profitability of Indonesian Islamic banks while seeking to align profitability with sustainable development goals (SDGs). Design/Methodology/Approach — The model is developed based on the combination of linear programming and financial analysis, with constraints considering banking regulations and practices. The model highlights financing product types, financing fields of business, and types of deposit products that contribute to higher profits and support sustainability practices. Findings — The recommended financing product types, financing fields of business, and deposit product types lead to profitability growth of up to 85 per cent, even better than the pre-pandemic performance of Islamic banking and the overall Indonesian banking industry. This research also finds that Islamic banks’ strategy for profit optimisation is consistent with the increasing support for SDGs. Originality/Value — There is a lack of literature discussing the alignment of Islamic banks’ profit optimisation with the SDGs. This study contributes to the literature by aligning the Islamic banks’ profitability strategy with sustainable financing. Research Limitations/Implications — The study is expected to promote the implementation of sustainability practices as well as increase the profitability of Islamic banks, drawing from evidence in Indonesia.

KEMAMPUAN RASIO KEUANGAN DALAM MEMPREDIKSI PERTUMBUHAN LABA PADA PERUSAHAAN PERBANKAN YANG TERDAFTAR DI BURSA EFEK INDONESIA TAHUN 2012-2017

The research aims to: (1) test and prove the ability of the Capital Adequacy Ratio (CAR), Loan to Deposit Ratio (LDR), Non-Performing Loan (NPL), capability Operations on operating income (BOPO), Net Interest Margin (NIM), Return On Asset (ROA) and Return On Equity (ROE) in predicting profit growth Registered Banking Company in IDX. A research sample is a banking company listed on the Indonesia Stock Exchange. Data analysis methods use multiple linear regression analyses. From the research results are known that: (1) Capital Adequacy Ratio (CAR) is not able to predict the profit growth of registered banking companies in IDX: (2) Loan to Deposit Ratio (LDR) is not able to predict the profit growth of the banking company Registered in the IDX: (3) Non-Performing Loan (NPL) is not able to predict the profit growth of registered banking companies in IDX: (4) operating expenses on operating income (BOPO) is not able to predict the profit growth of the banking company Registered in IDX: (5) Net Interest Margin (NIM) is not able to predict the profit growth of registered banking companies in IDX: (7) Return On Equity (ROE) is able to predict the profit growth of the IDX-registered banking company

Molten Aluminum-Induced Corrosion and Wear-Resistance Properties of ZrB2-Based Cermets Improved by Sintering-Temperature Manipulation.

During the hot dip aluminum plating process, components such as sinking rollers, pulling rollers, and guide plates will come into long-term contact with high-temperature liquid aluminum and be corroded by the aluminum liquid, greatly reducing their service life. Therefore, the development of a material with excellent corrosion resistance to molten aluminum is used to prepare parts for the dipping and plating equipment and protect the equipment from erosion, which can effectively improve the production efficiency of the factory and strengthen the quality of aluminum-plated materials, which is of great significance for the growth of corporate profits. With AlFeNiCoCr as the binder phase and ZrB2 as the hard phase, ZrB2-based ceramic composites were prepared by spark plasma sintering (SPS). SEM, EDS and XRD were used to characterize the microstructure and properties of the sintered, corroded, and abraded material samples. The density, fracture toughness, corrosion rate and wear amount of the composite material were measured. The results show that ZrB2-AlFeNiCoCr ceramics have compact structure and excellent mechanical properties, and the density, hardness and fracture toughness of ZrB2-AlFeNiCoCr increase with the increase in sintering temperature. However, when the composite material is at 1600 °C, the relative density of the sintering at 1600 °C decreases due to the overflow of the bonding phase. Therefore, when the sintering temperature is 1500 °C, the high entropy alloy has the best performance. The average corrosion rate of ZrB2-1500 at 700 °C liquid aluminum is 1.225 × 10-3 mm/h, and the wear amount in the friction and wear test is 0.104 mm3.