The Effect of Working Capital Management, Sales Growth on Profitability in Property and Real Estate Companies Listed on the Indonesia Stock Exchange (IDX) in 2019-2022

DOI

10.2991/978-94-6463-443-3_30How to use a DOI?

Keywords

Profitability; Sales Growth; Working Capital Management

Abstract

This research aims to determine the effect of working capital management and sales growth on profitability in property and real estate companies listed on the Indonesia Stock Exchange (IDX). The variables used in this study are current assets, current liabilities, and sales growth as independent variables, while Return on Assets (ROA) is used as the dependent variable. The subjects analyzed were property and real estate companies listed on the Indonesia Stock Exchange (BEI), and the research was carried out from 2019 to 2022. This research is a quantitative causality study using the method of multiple linear regression analysis with panel data. There are 85 property and real estate companies in the population, and this research selected 7 property and real estate companies as samples using the purposive sampling method. The results of data analysis showed that there was a significant mutually influencing relationship between these variables current assets, current liabilities, and sales growth on ROA. Effective working capital management, which is reflected in good management of current assets and current liabilities, can contribute to a higher level of profitability.

Copyright

© 2024 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Nandu Saprudin
AU  - Maya Sari
AU  - Imas Purnamasari
PY  - 2024
DA  - 2024/06/26
TI  - The Effect of Working Capital Management, Sales Growth on Profitability in Property and Real Estate Companies Listed on the Indonesia Stock Exchange (IDX) in 2019-2022
BT  - Proceedings of the 8th Global Conference on Business, Management, and Entrepreneurship (GCBME 2023)
PB  - Atlantis Press
SP  - 209
EP  - 216
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-443-3_30
DO  - 10.2991/978-94-6463-443-3_30
ID  - Saprudin2024
ER  -