The Influence of Financial Ratios on Firm Values after TFRS 16 Implementation of Listed Companies in the Stock Exchange of Thailand and MAI in the Service Industry Group
DOI:
https://doi.org/10.14456/ajmt.2025.2Keywords:
TFRS 16, Firm Values, Financial RatiosAbstract
The purpose of this study was to investigate the influence of financial ratios on firm values before and after the implementation of TFRS 16 (Lease) of listed companies in the Stock Exchange of Thailand and MAI in the service industry group. The study examined financial ratios including asset turnover, return on assets, debt to assets ratio, and interest coverage ratio. The research employed secondary data collected from 2018 to 2021 using the online SETSMART database and companies' annual reports, with a total of 220 observations. The statistical methods included descriptive statistics, correlation analysis, and multiple regression analysis. The results showed that: 1) Before the implementation of TFRS 16 (Lease), the asset turnover and return on assets had a statistically significant positive influence on firm values, while the debt to assets ratio and interest coverage ratio had a statistically significant negative influence on firm values. 2) After the implementation of TFRS 16 (Lease), only the asset turnover maintained a statistically significant positive influence on firm values. When comparing the influence of financial ratios on firm values before and after the adoption of TFRS 16, the results indicated that the impact of financial ratios on firm values decreased following the implementation of the new reporting standard.
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