IMPACT OF FINANCIAL SUSTAINABILITY ON THE FIRM PERFORMANCE: EVIDENCE FROM VIETNAMESE MANUFACTURING COMPANIES
DOI:
https://doi.org/10.15282/ijim.18.4.2024.10114Keywords:
Financial Statements, Financial Sustainability, Business Performance, Listed CompaniesAbstract
This study aims to determine the impact of financial sustainability on the performance of manufacturing companies listed on the Vietnam Stock Exchange. The study was conducted based on a survey sample of 100 large-scale manufacturing companies listed on Ho Chi Minh Stock Exchange and Hanoi Stock Exchange period from 2017-2021. Research results show that, related to Firm performance measured by Return on Asset scale, employee growth rate and asset turnover are two variables of financial sustainability that have a positive relationship with ROA. As for operating expenses, receivables turnover and inventory turnover, there is not enough evidence to conclude that there is an impact on Firm performance - ROA. Firm performance measured by Return on Equity scale, the research results are not enough evidence to conclude that there is an impact of financial sustainability on performance, but it is still possible to rely on the research results to see. in Firm performance - ROE, employee growth rate has a negative relationship, while operating expenses, receivable turnover, inventory turnover and asset turnover have a positive relationship with ROE.
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