The determinants of profitability of all publicly listed construction companies in the ASEAN-5 from the years 2019-2021

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ID: 284510
2023
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Abstract
The purpose of this study is to know the determinants of profitability of the top 5 construction companies in the ASEAN-5, particularly, Singapore, Malaysia, Thailand, Philippines, and Indonesia, from the years 2019 to 2021. The determinants used in this study to measure the significant determinants and its relation to profitability (ROA and ROE) were: Debt to Equity, Debt to Assets, Total Asset Turnover, Asset Tangibility. External factors such as GDP Growth Rate, and Inflation Rate were also used to know the significant impact it has on the profitability of the construction companies. Through the use of Descriptive Statistics and Panel Data Regression, the researchers analyzed the data collected to determine the significance of the determinants and external factors to profitability of the construction companies. The research results show that Debt to Equity mostly shows a negative impact on profitability of construction companies except on Indonesia. On the other hand, Asset Turnover Ratio, Asset Tangibility, and GDP Growth shows a positive impact on profitability of construction companies in countries including Malaysia, Indonesia, Thailand and Philippines. Furthermore, Current Ratio and Inflation Rate shows a positive impact on profitability of construction companies in countries including Indonesia, Thailand, and Philippines.
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Authors Rosario, Palm Eric
Journal Malay Journal
Year 2023
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