Uluslararası Sosyal Bilimler Dergisi

Yazarlar: Umar Abbas Ibrahim, Ojo-Ayo Magdalene

Konular:

Anahtar Kelimeler:Equity ownership,Profitability performance,Managerial,Institutional and block holder ownership

Özet: The study aims to examine the nexus between equity ownership structure –cum managerial, institutional and blockholder and profitability performance, of food and beverage firms in Nigeria. The methodology was based on an ex-post factor research design using secondary panel data approach with different regression estimators. A sample size of fifteen from the thirty-nine firms was selected purposively based on companies that have complete information during the period 2007–2016. The data obtained were on ownership structure proxy by managerial ownership (MANOWN), institutional ownership (INSTOWN) and block holder ownership (BLOCOWN). Data was also obtained on firm performance constructed by return on assets (ROAs) and return on equity (ROEs), firm size measured by total assets (TAs) and leverage measured by total debts (TDs). This study employed multiple regression analysis of the Panel Least Square Method using E-Views 7.1. The findings showed that managerial ownership, institutional ownership and block-ownership have positive significant impact on returns on assets and equity, which suggest that equity ownership structure play significant role in determining the profitability of listed food and beverages firms in Nigeria. The study contributes to existing literature by presenting one of the very recent findings while simultaneously testing the validity of recent local and international methodologies, in order to inform policy change. The study recommends that in order to sustain and improve performance, regulatory measures are to be taken by the security and exchange commission to enhance financial profitability and further sustain it through ownership structure as part of governance policy in the industry.

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