Accounts Payable Turnover and Firm Performance of Quoted Manufacturing Firms in Nigeria

Published: May 10, 2023

Abstract:

Purpose: The objective of this study is to ascertain the nexus of accounts payable turnover and firm performance of quoted manufacturing firms in Nigeria.

Research methodology: This study adopted an ex-post facto research design. The sample comprised seventy-five non-financial firms quoted on the Nigerian Exchange Group (NGX). The study purposively selected all available non-financial firms during the study period: 2010-2019. This study utilized secondary sources of data, i.e., computed financial ratios from annual financial statements downloaded from the MachameRatios® database. The data were analyzed using multiple regression techniques.

Results: There is a non-significant positive effect of the accounts payable turnover ratio on ROA (p=0.9729) and ROE (p=0.2669); and; a significant negative effect of the accounts payable turnover ratio on Tobin’s Q (p=0.0140).

Limitations: The limitation of the study is the failure to account for endogeneity concerns in firm performance studies.

Contribution: The study contributes to the working capital management literature and specifically to the credit management axiom. It also showed a differential effect of APT on various firm performance proxies which have significant implications for managers, e.g., finance officers in corporations that intend to utilize the accounts payable turnover as a strategy to grow the performance of the firm in the short and long term.

Practical implication: The practical implication of this research is that managers can alter their firm performance from responsible accounts payable turnover management.

Novelty: The study uses a unique dataset of non-financial firms within a framework of robust control variables to examine the relationship between APT and firm performance proxies.

Keywords:
1. Accounts Payable Turnover
2. Return on Asset
3. Return on Equity
4. Tobin’s Q
Authors:
1 . Patricia Chinyere Oranefo
2 . Chinedu Francis Egbunike
How to Cite
Oranefo, P. C., & Egbunike, C. F. (2023). Accounts Payable Turnover and Firm Performance of Quoted Manufacturing Firms in Nigeria. International Journal of Accounting and Management Information Systems, 1(1), 45–65. https://doi.org/10.35912/ijamis.v1i1.1247

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References

    Abdeljawad, I., & Dwaikat, L. (2021). Working Capital Management and Firm Performance: The Case of Industrial Corporations in Palestine.

    Abuzayed, B. (2012). Working capital management and firms’ performance in emerging markets: the case of Jordan. International Journal of Managerial Finance.

    Achode, B. M., & Rotich, G. (2016). Effects of accounts payable as source of financing on performance of listed manufacturing firms at the Nairobi Securities Exchange. International Journal of Research Studies in Agricultural Sciences, 2(4), 24-32.

    Adair, P., & Adaskou, M. (2015). Trade-off-theory vs. pecking order theory and the determinants of corporate leverage: Evidence from a panel data analysis upon French SMEs (2002–2010). Cogent Economics & Finance, 3(1), 1006477.

    Adebayo, R. I. (2011). Zakat and poverty alleviation: A lesson for the fiscal policy makers in Nigeria. Journal of Islamic Economics, Banking and Finance, 7(4), 26-41.

    Afrifa, G. A., & Padachi, K. (2016). Working capital level influence on SME profitability. Journal of Small Business and Enterprise Development.

    Agu, O., Obi-Anike, H. O., & Eke, C. (2016). Effect of inventory management on the organizational performance of the selected manufacturing firms. Singaporean Journal of Business economics, and management Studies, 5(4), 56-69.

    Ahmed, B., Akbar, M., Sabahat, T., Ali, S., Hussain, A., Akbar, A., & Hongming, X. (2020). Does firm life cycle impact corporate investment efficiency? Sustainability, 13(1), 197.

    Ajayi, D. D. (2007). Recent trends and patterns in Nigeria’s industrial development. Africa Development, 32(2).

    Akbar, M., Akbar, A., & Draz, M. U. (2021). Global financial crisis, working capital management, and firm performance: evidence from an Islamic market index. Sage Open, 11(2), 21582440211015705.

    Akinlabi, B. H. (2017). Inventory management practices and operational performance of selected flour mills companies in Nigeria. Unpublished thesis submitted to Babcock University.

    Aktas, N., Croci, E., & Petmezas, D. (2015). Is working capital management value-enhancing? Evidence from firm performance and investments. Journal of Corporate Finance, 30, 98-113.

    Alvarez, T., Sensini, L., & Vazquez, M. (2021). Working capital management and profitability: Evidence from an emergent economy. International Journal of Advances in Management and Economics, 11(1), 32-39.

    Amahalu, N. (2018). Inventory management and financial performance: Evidence from brewery firms listed on Nigeria stock exchange. International Journal of Research in Business, Economics and Management, 2(3).

    Anichebe, N., & Agu, O. (2013). Effect of inventory management on organizational effectiveness. Paper presented at the Information and knowledge management.

    Anser, R., & Malik, Q. A. (2013). Cash conversion cycle and firms’ profitability–A study of listed manufacturing companies of Pakistan. IOSR Journal of Business and Management, 8(2), 83-87.

    Arnaldi, A., Novak, B., Roscigno, R., & Zhang, W. (2021). Working capital management and profitability: empirical evidence. International Journal of Business Management and Economic Research (IJBMER), 12(2), 1911-1917.

    Atnafu, D., & Balda, A. (2018). The impact of inventory management practice on firms’ competitiveness and organizational performance: Empirical evidence from micro and small enterprises in Ethiopia. Cogent Business & Management, 5(1), 1503219.

    Atseye, F. A., Ugwu, J. I., & Takon, S. M. (2015). Determinants of working capital management. International Journal of Economics, Commerce and Management, 3(2), 1-11.

    Awad, I., & Jayyar, F. (2013). Working capital management, liquidity and profitability of the manufacturing sector in palestine: panel co-integration and causality. Mod Econ 4 (10): 662–671. Management Accountant Calcutta, 39, 463-495.

    Baños-Caballero, S., García-Teruel, P. J., & Martínez-Solano, P. (2014). Working capital management, corporate performance, and financial constraints. Journal of Business Research, 67(3), 332-338.

    Baños-Caballero, S., García-Teruel, P. J., & Martínez-Solano, P. (2020). Net operating working capital and firm value: A cross-country analysis. BRQ Business Research Quarterly, 23(3), 234-251.

    Bawa, S., Asamoah, G. E., & Kissi, E. (2018). Impact of inventory management on firm performance: LAP LAMBERT Academic Publishing.

    Ben-Caleb, E. (2009). Working capital management and profitability of listed companies in Nigeria. Nigeria Research Journal of Accountancy, 1(1).

    Campos, A., Chen, J., Ferri, G., Parisi, M., Sanchez, J., & Sensini, L. (2014). Business risk prediction models: an empirical analysis. Paper presented at the International Conference on Accounting and Management Research.

    CFI. (2023). Accounts Payable Turnover Ratio. Retrieved from https://corporatefinanceinstitute.com/resources/accounting/accounts-payable-turnover-ratio/

    Darun, M. R., Roudaki, J., & Radford, J. J. (2015). Forces shaping working capital management practices: A preliminary study.

    Deloof, M. (2003). Does working capital management affect profitability of Belgian firms? Journal of business finance & accounting, 30(3?4), 573-588.

    García-Teruel, P. J., & Martínez-Solano, P. (2010). A dynamic perspective on the determinants of accounts payable. Review of quantitative finance and accounting, 34, 439-457.

    Hernandez, S., Migliaro, D., Suarezm, P., & Arnaldi, A. (2021). Working capital determinants and profitability: empirical evidence from an emergent economy. IAR Journal of Business Management, 2(2).

    Horton, M. (2021). The Difference Between Profitability and Profit. Retrieved from https://www.investopedia.com/ask/answers/012715/what-difference-between-profitability-and-profit.asp

    Hossain, S. K., Sultan, M. I., & Ahmed, M. M. (2021). Ownership structure and firm performance: Evidence manufacturing companies listed in Dhaka Stock Exchange. International Journal of Financial, Accounting, and Management, 3(3), 227-243.

    Hussain, A., Akbar, M., Kaleem Khan, M., Akbar, A., Panait, M., & Catalin Voica, M. (2020). When does earnings management matter? Evidence across the corporate life cycle for non-financial Chinese listed companies. Journal of Risk and Financial Management, 13(12), 313.

    Hussain, S., Nguyen, V. C., Nguyen, Q. M., Nguyen, H. T., & Nguyen, T. T. (2021). Macroeconomic factors, working capital management, and firm performance—A static and dynamic panel analysis. Humanities and Social Sciences Communications, 8(1), 1-14.

    Jordan, B. D., Ross, S. A., & Westerfield, R. W. (2003). Fundamentals of corporate finance: McGraw Hill.

    Kareem, T. S. (2018). Impact of inventory management practices on small and medium enterprises manufacturing subsector in Oyo State, Nigeria. South Asian Journal of Social Studies and Economics, 1-8.

    Keynes, J. M. (1936). The General Theory of Employment, Interest, and Money.

    Khan, A., Ayaz, M., Waseem, R., Osama, S., Abbasi, B., & Ijaz, M. (2016). Impact of Cash Conversion Cycle on Working Capital through Profitability: Evidence from Cement Industry of Pakistan. IOSR Journal of Business and Management (IOSR-JBM), 18(3), 124-131.

    Kieschnick, R., Laplante, M., & Moussawi, R. (2013). Working capital management and shareholders’ wealth. Review of finance, 17(5), 1827-1852.

    Kithii, J. N. (2008). The relationship between working capital management and profitability of listed companies in the Nairobi stock exchange. University of Nairobi.

    Liviani, R., & Rachman, Y. T. (2021). The influence of leverage, sales growth, and dividend policy on company value. International Journal of Financial, Accounting, and Management, 3(2), 165-178.

    Lyngstadaas, H., & Berg, T. (2016). Working capital management: Evidence from Norway. International Journal of Managerial Finance.

    Majeed, S., Makki, M., Saleem, S., & Aziz, T. (2013). The relationship of cash conversion cycle and profitability of firms: An empirical investigation of Pakistani firms. Journal of emerging issues in economics, finance and banking, 1(1), 35-51.

    Mandiefe, P. (2016). How working capital management affects the profitability of Afriland First Bank of Cameroon? A case study. Online at https://mpra. ub. unimuenchen. de/75356/MPRA Paper No. 75356, posted 03 Dec 2016 13: 19 UTC.

    Mehtap, Ö. (2016). The impact of working capital management on firm profitability: Empirical evidence from Borsa Istanbul. Siyaset, ekonomi ve yönetim ara?t?rmalar? dergisi, 4(3), 63-79.

    Mohamed, A. S. (2012). The effect of cash conversion cycle on the profitability of firms listed on the Nairobi Securities Exchange. University of Nairobi.

    Mueller, A., & Novak, B. (2014). Working Capital Determinants and Profitability. Paper presented at the Academic Conference on Risk Management and Complexity.

    Myers, S. C. (1984). Capital structure puzzle: National Bureau of economic research Cambridge, Mass., USA.

    Myers, S. C., & Majluf, N. S. (1984). Corporate financing and investment decisions when firms have information that investors do not have. Journal of Financial Economics, 13(2), 187-221.

    Nam, H., & Uchida, K. (2019). Accounts payable and firm value: International evidence. Journal of banking & finance, 102, 116-137.

    Nguyen, V. H., Nguyen, T. T. C., Nguyen, V. T., & Do, D. T. (2021). Internal factors affecting firm performance: A case study in Vietnam. The Journal of Asian Finance, Economics and Business, 8(5), 303-314.

    Nishanthini, A., & Nimalathasan, B. (2013). Determinants of profitability: A case study of listed manufacturing companies in Sri Lanka.

    Ogbo, A. I., & Ukpere, W. I. (2014). The impact of effective inventory control management on organizational performance: A study of 7up bottling company nile mile enugu, nigeria. Mediterranean Journal of Social Sciences, 5(10), 109.

    Oliomogbe, T. I. (2002). The Impact Of Inventory Management On Organizational Performance: A Study Of Nigeria Breweries PLC And Nigeria Bottling Company PLC. Department of Management, Faculty of Business Administration, School of Post-Graduate Studies, University of Nigeria. Nigeria.

    Oranefo, P., & Egbunike, C. (2022). Debt Financing and Firm Valuation of Quoted Non-Financial Firms in Nigeria Stock Exchange. International Journal of Financial, Accounting, and Management, 4(2), 199-218.

    Oranefo, P. C., & Egbunike, C. F. (2023). Gearing ratio and operating cash flow performance of quoted manufacturing firms in Nigeria. International Journal of Financial, Accounting, and Management, 4(4), 395-410.

    Oseifuah, E. K. (2016). Cash Conversion Cycle theory and corporate profitability Cash Conversion Cycle theory and corporate profitability: Oseifuah, Emmanuel Kojo.

    Owolabi, S. A., & Alu, C. N. (2012). Effective working capital management and profitability: A study of selected quoted manufacturing companies in Nigeria. Economics and Finance Review, 2(6), 55-67.

    Pais, M. A., & Gama, P. M. (2015). Working capital management and SMEs profitability: Portuguese evidence. International Journal of Managerial Finance, 11(3), 341-358.

    Ramachandran, A., & Janakiraman, M. (2009). The relationship between working capital management efficiency and EBIT. Managing Global Transitions: International Research Journal, 7(1).

    Sagner, J. (2010). Essentials of working capital management (Vol. 55): John Wiley & Sons.

    Sensini, L. (2020). Working capital management and performance: evidence from Italian SME’s. International Journal of Business Management and Economic Research (IJBMER), 11(2), 1749-1755.

    Shajahan, U. S., Vigneswaran, E., Manikandan, T., Monisha, M., & Haridharani, S. (2021). WORKING CAPITAL MANAGEMENT AND ITS IMPACT ON PROFITABILITY OF SELECTED PHARMACEUTICAL COMPANIES IN INDIA. Turkish Journal of Physiotherapy and Rehabilitation, 32, 3.

    Tauringana, V., & Afrifa, G. A. (2013). The relative importance of working capital management and its components to SMEs' profitability. Journal of Small Business and Enterprise Development.

    Too, K. S. (2016). Effect of working capital management practices on a firm’s profitability: a case of manufacturing firms listed in Nairobi securities exchange. Egerton University.

    Truong, B. T., & Tran, D. K. N. (). . , . (2009). Financial Analysis Textbook. Vietnam: University of Danang.

    Ukaegbu, B. (2014). The significance of working capital management in determining firm profitability: Evidence from developing economies in Africa. Research in International Business and Finance, 31, 1-16.

    Watson, D., & Head, A. (2010). Corporate finance: principles and practice: Pearson Education.

    Wramsby, G., & Österlund, U. (1993). Företagets finansiella miljö: Wramsby/Österlund förl.

    Yazdanfar, D., & Öhman, P. (2014). The impact of cash conversion cycle on firm profitability: An empirical study based on Swedish data. International Journal of Managerial Finance, 10(4), 442-452.

  1. Abdeljawad, I., & Dwaikat, L. (2021). Working Capital Management and Firm Performance: The Case of Industrial Corporations in Palestine.
  2. Abuzayed, B. (2012). Working capital management and firms’ performance in emerging markets: the case of Jordan. International Journal of Managerial Finance.
  3. Achode, B. M., & Rotich, G. (2016). Effects of accounts payable as source of financing on performance of listed manufacturing firms at the Nairobi Securities Exchange. International Journal of Research Studies in Agricultural Sciences, 2(4), 24-32.
  4. Adair, P., & Adaskou, M. (2015). Trade-off-theory vs. pecking order theory and the determinants of corporate leverage: Evidence from a panel data analysis upon French SMEs (2002–2010). Cogent Economics & Finance, 3(1), 1006477.
  5. Adebayo, R. I. (2011). Zakat and poverty alleviation: A lesson for the fiscal policy makers in Nigeria. Journal of Islamic Economics, Banking and Finance, 7(4), 26-41.
  6. Afrifa, G. A., & Padachi, K. (2016). Working capital level influence on SME profitability. Journal of Small Business and Enterprise Development.
  7. Agu, O., Obi-Anike, H. O., & Eke, C. (2016). Effect of inventory management on the organizational performance of the selected manufacturing firms. Singaporean Journal of Business economics, and management Studies, 5(4), 56-69.
  8. Ahmed, B., Akbar, M., Sabahat, T., Ali, S., Hussain, A., Akbar, A., & Hongming, X. (2020). Does firm life cycle impact corporate investment efficiency? Sustainability, 13(1), 197.
  9. Ajayi, D. D. (2007). Recent trends and patterns in Nigeria’s industrial development. Africa Development, 32(2).
  10. Akbar, M., Akbar, A., & Draz, M. U. (2021). Global financial crisis, working capital management, and firm performance: evidence from an Islamic market index. Sage Open, 11(2), 21582440211015705.
  11. Akinlabi, B. H. (2017). Inventory management practices and operational performance of selected flour mills companies in Nigeria. Unpublished thesis submitted to Babcock University.
  12. Aktas, N., Croci, E., & Petmezas, D. (2015). Is working capital management value-enhancing? Evidence from firm performance and investments. Journal of Corporate Finance, 30, 98-113.
  13. Alvarez, T., Sensini, L., & Vazquez, M. (2021). Working capital management and profitability: Evidence from an emergent economy. International Journal of Advances in Management and Economics, 11(1), 32-39.
  14. Amahalu, N. (2018). Inventory management and financial performance: Evidence from brewery firms listed on Nigeria stock exchange. International Journal of Research in Business, Economics and Management, 2(3).
  15. Anichebe, N., & Agu, O. (2013). Effect of inventory management on organizational effectiveness. Paper presented at the Information and knowledge management.
  16. Anser, R., & Malik, Q. A. (2013). Cash conversion cycle and firms’ profitability–A study of listed manufacturing companies of Pakistan. IOSR Journal of Business and Management, 8(2), 83-87.
  17. Arnaldi, A., Novak, B., Roscigno, R., & Zhang, W. (2021). Working capital management and profitability: empirical evidence. International Journal of Business Management and Economic Research (IJBMER), 12(2), 1911-1917.
  18. Atnafu, D., & Balda, A. (2018). The impact of inventory management practice on firms’ competitiveness and organizational performance: Empirical evidence from micro and small enterprises in Ethiopia. Cogent Business & Management, 5(1), 1503219.
  19. Atseye, F. A., Ugwu, J. I., & Takon, S. M. (2015). Determinants of working capital management. International Journal of Economics, Commerce and Management, 3(2), 1-11.
  20. Awad, I., & Jayyar, F. (2013). Working capital management, liquidity and profitability of the manufacturing sector in palestine: panel co-integration and causality. Mod Econ 4 (10): 662–671. Management Accountant Calcutta, 39, 463-495.
  21. Baños-Caballero, S., García-Teruel, P. J., & Martínez-Solano, P. (2014). Working capital management, corporate performance, and financial constraints. Journal of Business Research, 67(3), 332-338.
  22. Baños-Caballero, S., García-Teruel, P. J., & Martínez-Solano, P. (2020). Net operating working capital and firm value: A cross-country analysis. BRQ Business Research Quarterly, 23(3), 234-251.
  23. Bawa, S., Asamoah, G. E., & Kissi, E. (2018). Impact of inventory management on firm performance: LAP LAMBERT Academic Publishing.
  24. Ben-Caleb, E. (2009). Working capital management and profitability of listed companies in Nigeria. Nigeria Research Journal of Accountancy, 1(1).
  25. Campos, A., Chen, J., Ferri, G., Parisi, M., Sanchez, J., & Sensini, L. (2014). Business risk prediction models: an empirical analysis. Paper presented at the International Conference on Accounting and Management Research.
  26. CFI. (2023). Accounts Payable Turnover Ratio. Retrieved from https://corporatefinanceinstitute.com/resources/accounting/accounts-payable-turnover-ratio/
  27. Darun, M. R., Roudaki, J., & Radford, J. J. (2015). Forces shaping working capital management practices: A preliminary study.
  28. Deloof, M. (2003). Does working capital management affect profitability of Belgian firms? Journal of business finance & accounting, 30(3?4), 573-588.
  29. García-Teruel, P. J., & Martínez-Solano, P. (2010). A dynamic perspective on the determinants of accounts payable. Review of quantitative finance and accounting, 34, 439-457.
  30. Hernandez, S., Migliaro, D., Suarezm, P., & Arnaldi, A. (2021). Working capital determinants and profitability: empirical evidence from an emergent economy. IAR Journal of Business Management, 2(2).
  31. Horton, M. (2021). The Difference Between Profitability and Profit. Retrieved from https://www.investopedia.com/ask/answers/012715/what-difference-between-profitability-and-profit.asp
  32. Hossain, S. K., Sultan, M. I., & Ahmed, M. M. (2021). Ownership structure and firm performance: Evidence manufacturing companies listed in Dhaka Stock Exchange. International Journal of Financial, Accounting, and Management, 3(3), 227-243.
  33. Hussain, A., Akbar, M., Kaleem Khan, M., Akbar, A., Panait, M., & Catalin Voica, M. (2020). When does earnings management matter? Evidence across the corporate life cycle for non-financial Chinese listed companies. Journal of Risk and Financial Management, 13(12), 313.
  34. Hussain, S., Nguyen, V. C., Nguyen, Q. M., Nguyen, H. T., & Nguyen, T. T. (2021). Macroeconomic factors, working capital management, and firm performance—A static and dynamic panel analysis. Humanities and Social Sciences Communications, 8(1), 1-14.
  35. Jordan, B. D., Ross, S. A., & Westerfield, R. W. (2003). Fundamentals of corporate finance: McGraw Hill.
  36. Kareem, T. S. (2018). Impact of inventory management practices on small and medium enterprises manufacturing subsector in Oyo State, Nigeria. South Asian Journal of Social Studies and Economics, 1-8.
  37. Keynes, J. M. (1936). The General Theory of Employment, Interest, and Money.
  38. Khan, A., Ayaz, M., Waseem, R., Osama, S., Abbasi, B., & Ijaz, M. (2016). Impact of Cash Conversion Cycle on Working Capital through Profitability: Evidence from Cement Industry of Pakistan. IOSR Journal of Business and Management (IOSR-JBM), 18(3), 124-131.
  39. Kieschnick, R., Laplante, M., & Moussawi, R. (2013). Working capital management and shareholders’ wealth. Review of finance, 17(5), 1827-1852.
  40. Kithii, J. N. (2008). The relationship between working capital management and profitability of listed companies in the Nairobi stock exchange. University of Nairobi.
  41. Liviani, R., & Rachman, Y. T. (2021). The influence of leverage, sales growth, and dividend policy on company value. International Journal of Financial, Accounting, and Management, 3(2), 165-178.
  42. Lyngstadaas, H., & Berg, T. (2016). Working capital management: Evidence from Norway. International Journal of Managerial Finance.
  43. Majeed, S., Makki, M., Saleem, S., & Aziz, T. (2013). The relationship of cash conversion cycle and profitability of firms: An empirical investigation of Pakistani firms. Journal of emerging issues in economics, finance and banking, 1(1), 35-51.
  44. Mandiefe, P. (2016). How working capital management affects the profitability of Afriland First Bank of Cameroon? A case study. Online at https://mpra. ub. unimuenchen. de/75356/MPRA Paper No. 75356, posted 03 Dec 2016 13: 19 UTC.
  45. Mehtap, Ö. (2016). The impact of working capital management on firm profitability: Empirical evidence from Borsa Istanbul. Siyaset, ekonomi ve yönetim ara?t?rmalar? dergisi, 4(3), 63-79.
  46. Mohamed, A. S. (2012). The effect of cash conversion cycle on the profitability of firms listed on the Nairobi Securities Exchange. University of Nairobi.
  47. Mueller, A., & Novak, B. (2014). Working Capital Determinants and Profitability. Paper presented at the Academic Conference on Risk Management and Complexity.
  48. Myers, S. C. (1984). Capital structure puzzle: National Bureau of economic research Cambridge, Mass., USA.
  49. Myers, S. C., & Majluf, N. S. (1984). Corporate financing and investment decisions when firms have information that investors do not have. Journal of Financial Economics, 13(2), 187-221.
  50. Nam, H., & Uchida, K. (2019). Accounts payable and firm value: International evidence. Journal of banking & finance, 102, 116-137.
  51. Nguyen, V. H., Nguyen, T. T. C., Nguyen, V. T., & Do, D. T. (2021). Internal factors affecting firm performance: A case study in Vietnam. The Journal of Asian Finance, Economics and Business, 8(5), 303-314.
  52. Nishanthini, A., & Nimalathasan, B. (2013). Determinants of profitability: A case study of listed manufacturing companies in Sri Lanka.
  53. Ogbo, A. I., & Ukpere, W. I. (2014). The impact of effective inventory control management on organizational performance: A study of 7up bottling company nile mile enugu, nigeria. Mediterranean Journal of Social Sciences, 5(10), 109.
  54. Oliomogbe, T. I. (2002). The Impact Of Inventory Management On Organizational Performance: A Study Of Nigeria Breweries PLC And Nigeria Bottling Company PLC. Department of Management, Faculty of Business Administration, School of Post-Graduate Studies, University of Nigeria. Nigeria.
  55. Oranefo, P., & Egbunike, C. (2022). Debt Financing and Firm Valuation of Quoted Non-Financial Firms in Nigeria Stock Exchange. International Journal of Financial, Accounting, and Management, 4(2), 199-218.
  56. Oranefo, P. C., & Egbunike, C. F. (2023). Gearing ratio and operating cash flow performance of quoted manufacturing firms in Nigeria. International Journal of Financial, Accounting, and Management, 4(4), 395-410.
  57. Oseifuah, E. K. (2016). Cash Conversion Cycle theory and corporate profitability Cash Conversion Cycle theory and corporate profitability: Oseifuah, Emmanuel Kojo.
  58. Owolabi, S. A., & Alu, C. N. (2012). Effective working capital management and profitability: A study of selected quoted manufacturing companies in Nigeria. Economics and Finance Review, 2(6), 55-67.
  59. Pais, M. A., & Gama, P. M. (2015). Working capital management and SMEs profitability: Portuguese evidence. International Journal of Managerial Finance, 11(3), 341-358.
  60. Ramachandran, A., & Janakiraman, M. (2009). The relationship between working capital management efficiency and EBIT. Managing Global Transitions: International Research Journal, 7(1).
  61. Sagner, J. (2010). Essentials of working capital management (Vol. 55): John Wiley & Sons.
  62. Sensini, L. (2020). Working capital management and performance: evidence from Italian SME’s. International Journal of Business Management and Economic Research (IJBMER), 11(2), 1749-1755.
  63. Shajahan, U. S., Vigneswaran, E., Manikandan, T., Monisha, M., & Haridharani, S. (2021). WORKING CAPITAL MANAGEMENT AND ITS IMPACT ON PROFITABILITY OF SELECTED PHARMACEUTICAL COMPANIES IN INDIA. Turkish Journal of Physiotherapy and Rehabilitation, 32, 3.
  64. Tauringana, V., & Afrifa, G. A. (2013). The relative importance of working capital management and its components to SMEs' profitability. Journal of Small Business and Enterprise Development.
  65. Too, K. S. (2016). Effect of working capital management practices on a firm’s profitability: a case of manufacturing firms listed in Nairobi securities exchange. Egerton University.
  66. Truong, B. T., & Tran, D. K. N. (). . , . (2009). Financial Analysis Textbook. Vietnam: University of Danang.
  67. Ukaegbu, B. (2014). The significance of working capital management in determining firm profitability: Evidence from developing economies in Africa. Research in International Business and Finance, 31, 1-16.
  68. Watson, D., & Head, A. (2010). Corporate finance: principles and practice: Pearson Education.
  69. Wramsby, G., & Österlund, U. (1993). Företagets finansiella miljö: Wramsby/Österlund förl.
  70. Yazdanfar, D., & Öhman, P. (2014). The impact of cash conversion cycle on firm profitability: An empirical study based on Swedish data. International Journal of Managerial Finance, 10(4), 442-452.