Factors Affecting the Profitability of Cement Manufacturing Enterprises in Tuyen Quang Province

Hoang Anh Dao (Tantrao University, Yenson District, Tuyenquang Province, Vietnam)
Pham Thanh Tra (Tantrao University, Yenson District, Tuyenquang Province, Vietnam)
Tran Thao Nguyen (Tantrao University, Yenson District, Tuyenquang Province, Vietnam)

Article ID: 4771

Abstract


This study focuses on analyzing the factors affecting the production and business efficiency of cement manufacturing enterprises in Tuyen Quang province. Production and business efficiency is measured by profitability ratios including return on assets (ROA), return on equity (ROE) and return on sales (ROS). Using a quantitative research method through estimating a linear regression model based on data of two cement manufacturing companies in the period 2019-2021, the research results show that the factors affecting business efficiency of cement manufacturing enterprises in Tuyen Quang province include size of enterprise, cost ratio, average collection period, inventory turnover, fixed assets turnover and debt ratio.


Keywords


Business efficiency; Profitability; Cement manufacturing enterprises; Tuyen Quang

Full Text:

PDF

References


[1] FPT Securities Joint Stock Company, 2020. Report of the cement industry in September 2020- The development process of Vietnam’s cement industry. Retrieved online from https://ximang.vn/chuyen-dexi-mang/qua-trinh-phat-trien-nganh-xi-mang-vietnam-13293.html. (Accessed on 6 November 2021).

[2] Tuyen Quang News, 2021. Conference economic – social outlook 2021. Retrieved online from https:// hdndtuyenquang.gov.vn/tin-tuc-chung/hoi-nghitruc-tuyen-trien-khai-phat-trien-kinh-te-xa-hoinam-2021!-2044.html (Accessed on 5 January 2021).

[3] Ong, T.S., The, B.H., 2011. Capital structure and corporate performance of Malaysian construction sector. International Journal of Humanities and Social Science. 1(2).

[4] Valentin, A.C., 2012. Determinants of corporate financial performance, Retrieved online from www. dafi.asce.ro/revista/6/costeavalentin.pdf (Accessed on 13th September, 2021).

[5] Saeedi, M.M., Gull, A.A., Rasheed, M.Y., 2013. Impact of Capital structure on banking performance: A case study of Pakistan. Interdisciplinary Journal of Contemporary Research in Business.

[6] Nguyen, D.H., 2017. Solutions to improve production and business efficiency in construction enterprises in Vietnam. Academy of Finance.

[7] Bui, V.T., Le, H.T., 2020. Analysis of business performance in small and medium-sized enterprises: A case study in Can Tho city. Industry and Trade Magazine. 8.

[8] Zeitun, R., Tian, G.G., 2007. Capital structure and corporate performance: evidence from Jordan. Australasian Accounting Business and Finance Journal. 1(4), 38-61.

[9] Pouraghajan, A., Malekian, E., Emamgholipour, M., et al., 2012. The Relationship between Capital Structure and Firm Performance Evaluation Measures: Evidence from the Tehran Stock Exchange. International Journal of Business and Commerce. 1(9), 166- 181.

[10] Jayarathnea, T.A.N.R., 2014. Impact of Working Capital Management on Profitability: Evidence From Listed Companies in Sri Lanka. Faculty of Management and Finance, University of Ruhuna, SriLanka.

[11] Salim, M., Yadav, R., 2012. Capital Structure and Firm Performance:Evidence from Malaysian Listed Companies. Procedia - Social and Behavioral Sciences. 65, 156-166.

[12] Klingensjö, A., Kihlgren, C., 2015. Capital Structure and Performance in Private Firms. Student Ume, School of Business and Economics.

[13] Imran, H.M., 2016. Effects of Capital Structure and Managerial Ownership on Profitability: Experience from Bangladesh. International Journal of Business and Management. 11.

[14] Deloof, M., 2003. Does Working Capital Management Affect Profitability of Belgian Firms?. Journal of Business, Finance and Accounting. 30, 573-587.

[15] García-Teruel, P.J., Pedro Martinez-Solano, P., 2007. Effects off working capital management on SEM profitability. International Journal of Managerial Finance, International Journal of Managerial Finance. 3, 164-177.

[16] Burja, C., 2011. Factors Influencing The Companies Profitability. Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences.

[17] Nguyen, T.K.N., 2017. Organization of responsibility accounting in small and medium sized enterprise. Scientific Journal of Tan Trao University. 3(5), 84- 90.

[18] Department of Taxation of Tuyen Quang province, 2021. Financial statements of Tuyen Quang Cement Joint Stock Company.

[19] Department of Taxation of Tuyen Quang province, 2021. Financial statements of Tan Quang Cement Joint Stock Company.x.



DOI: https://doi.org/10.30564/mmpp.v4i2.4771

Refbacks

  • There are currently no refbacks.
Copyright © 2022 Author(s)


Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.