The Impact of Operating Efficiency and Revenue Quality on the Profitability of Consumer Goods Companies Listed on the Stock Exchange of Thailand

Abstract

              This research aimed to study the impact of operational efficiency and revenue quality on the profitability of consumer goods companies listed on the Stock Exchange of Thailand. This quantitative study collected secondary data from a sample of 33 companies between 2020 and 2024 from the SETSMART online database. The data analysis included descriptive statistics to analyze the data's basic characteristics, Pearson's correlation coefficient analysis to test the relationship between independent variables, and multiple regression analysis to test the research hypotheses at the 0.01 and 0.05 levels of significance.

              The results revealed that operational efficiency in terms of total asset turnover had a positive impact on profitability measured by return on assets and return on equity (at the 0.01 level), but had no impact on the net profit ratio. The current ratio had a negative impact on profitability measured by the net profit ratio (at the 0.01 level), but had no impact on return on assets and return on equity. Furthermore, inventory turnover had a negative impact on profitability measured by the net profit ratio (at the 0.01 level), but had no impact on return on assets and return on equity. And the quality of income in terms of debtor turnover rate and average debt collection period do not affect the profitability measured by return on assets, return on equity and net profit ratio.