Economic Value Added

The main objective of this study is to investigate the impact of capital structure on the financial performance of companies listed in the Tehran Stock Exchange. For this purpose, we studied and tested a sample of 400 firm-years among Companies Listed in the Tehran Stock Exchange in the form of 12 industrial groups during the years 2006 to 2010. In this study, Variables of return on assets ratio (ROA) and return on equity ratio (ROE) used to measure the financial performance of companies. Results suggest that there is a significant negative relationship between debt ratio and financial performance of companies, and a significant positive relationship between asset turnover, firm size, asset tangibility ratio, and growth opportunities with financial performance measures. But the relationship between ROA and ROE measures with the firm age is not significant. Also, some of the studied industries have affect on firm performance. In addition, research results shows that by reducing debt ratio, management can increase the company's profitability and thus the amount of the company's financial performance measures and can also increase shareholder wealth.

Previous Ghanaian governments attempted to use Ghana's well-developed banking system to grow the economy. Bad loans caused the banks to suffer great losses during the late 1980s, and decline in the cedi value caused a rise in the banks external loans. In 1988, the government initiated financial reforms to strengthen the banking sector. The reforms aimed to improve profitability, efficiency and productivity of banks. In spite of these reforms in 1990s, banks' performance has remained poor with substantial gaps in service delivery to private agents. There is sufficient empirical evidence that poor performance is manifest in low performance of bank indicators, including: high levels of credit risk to private agents, poor quality loans, limited and or inadequate capitalization, operational inefficiencies, higher incidences of non-performing loans, higher levels of liquidity risk; among others. Empirical evidence clearly shows that studies focusing on Ghana's financial sector are still scanty and limited. The study seeks to investigate the determinants of banks 'profitability in Ghana for the period 1988 to 2011 using Economic Value Added (EVA) technique to measure performance. The study evaluates two performance yardsticks to determine the best alternatives. The result of the study suggested economic value added as the best measurement as against the standard accounting measurement namely; ROA. Inflation was registered not to be affected Ghana's bank performance. The study results draw some implications for policy that helps to improve performance of the banking sector in Ghana.

Penelitian ini menganalisis pengaruh profitabilitas, kebijakan deviden dan harga saham, terhadap nilai perusahaan pada perusahaan manufaktur di Provinsi Banten yang terdaftar di Bursa Efek Indonesia periode 2009-2016. Metode yang digunakan adalah deskriptif dan asosiatif. Hasil analisis diperoleh secara parsial Profitabilitas berpengaruh terhadap nilai perusahaan. Kebijakan deviden tidak berpengaruh terhadap nilai perusahaan. Harga saham berpengaruh terhadap nilai perusahan. Sedangkan secara simultan profitabilitas, kebijakan deviden dan harga saham berpengaruh terhadap nilai perusahaan, dengan nilai kontribusi sebesar 45%. Hasil penelitian ini merekomendasikan bahwa nilai perusahaan dapat ditingkatkan terutama melalui profitabilitas dan harga saham. Kata kunci: profitabilitas, kebijakan deviden, harga saham, nilai perusahaan.

The customers are frequently changing their brand preferences. This constitutes a serious problem especially in the services sector. Because, the behaviors of the customers in the services sector has been changing drastically during the last several years. Therefore, like banking and telecom industry, insurance industry need to study their customers and their changing behaviors. However, insurance services are different from other services. Even, many insurance companies have large customer databases they are unable to turn it into usable knowledge. A greater focus on CRM is the only way by which the insurance sector can protect its market share and boost growth. With intensifying competition, declining market share, deregulations, smarter and more demanding customers, there is competition between the banks to attain a competitive advantage over one another or for sustaining the survival in competition. Many insurance firms now recognize the value of marketing to drive take-up of channels and services. However, the majority of current marketing efforts are neither targeted nor value driven and as a result, have little impact (Insurance & Technology, 2002). The present study undertakes to analyze these problems and provide suitable suggestions.

The purpose of this study is to analyze the factors that affect stock returns on manufacturingcompanies listed on the Indonesia Stock Exchange. The population in this study areManufacturing companies listed on the Indonesia Stock Exchange in the period 2011-2015 atotal of 17 companies sample automotive manufacturing companies sub-sector consisting of 7companies. This sampling technique uses Purposive sampling. The result of research indicatethat: (1) Economic Value Added and systematic risk influence partially influence to stock interestrate return and inflation do not show significant influence. (2) Economic Value Added, systematicrisk, interest rate and inflation simultaneously have a significant effect on stock return level(3) EVA is the most dominant variable affecting stock returns on manufacturing companiescategorized in the automotive sub-company.Keywords: Economic Value Added, Beta Saham, Inflasi, suku bunga, return saham

Maximizing shareholder value has become the new corporate paradigm. Corporations in the US have started disclosing EVA information from the beginning of 90s as a measure of corporate performance. It is believed that market value of a firm (hence shareholder wealth) would increase with the increase in EVA. Various studies done in the US also confirm this belief. EVA (a term coined and registered by Stern Stewart & Co. New York) is a residual income that subtracts the cost of capital from the operating profits generated by a business. The present study makes an at tempt to find the relevance of Stewart's claim that market value of the firm is largely driven by its EVA generating capacity in the Indian context. Based on a sample of 200 firms over a period of five years, the study shows that market value of a firm can be well predicted by estimated future EVA streams. The study has also found that market value of most of the firms in the sample is explained more by current operation...

This study aims to determine and analyze the effect of corporate social responsibility as an independent variable on economic value added and market value added as the dependent variable and the relationship of corporate social responsibility with economic value added and market value added. The study population was 17 companies included in the type of plantation company in the observation period for 5 (five) years, namely from 2013-2017. This study used a purposive sampling technique to determine the research sample. The type of data used is quantitative data. The data collection method used is the archival strategy. The method used to analyze the data is to use simple linear regression with the classic assumption test and to test the hypothesis proposed using the statistical test t and Spearman correlation analysis is processed with SPSS version 25. The results of the study concluded that there was no effect of corporate social responsibility on economic value added and market value added, and no relationship was found between corporate social responsibility and economic value added and market value added.

Italian companies are characterized by the presence of many small- and medium-size firms, along with some large organizations facing new challenges to improve financial results. In recent years being an Italian market player has not been so easy - even those with large and considerable production capacity - because market conditions do not always allow firms to sustain long-term competitive advantages. This is even more true considering the economic and financial crisis that began in the late summer of 2008; however, this goes beyond the purpose of this study on Aida's dataset update. Moreover, this paper considers shareholder value theory as well as the thesis supporting the relationship between employee development and responsibility, productivity improvement, employee commitment and financial performances. These considerations confirm that leadership development practices need to be integrated in workplaces to take real advantage of greater productivity creation and, as a con...

This research aim to know growth of performance of is effort and client share performance of Middle Business customers PT.Bank “AA” Tbk which have go public with analysis EVA (Economic Value Added), Z Score of Altman and Intrinsic Vlaue of Share. The Analysis expected can be enchanced in package analysis credit of new application, lengthening and also addition (supplies) of credit, so that channeling of credit can give security guarantee to banking.Research conducted by calculating and analyzing value of EVA, Z Score and Intrinsic Value of compared to share (is) Vlaue Stocks Market from 13 (thirteen) Middle Business customers of PT. Bank “AA” Tbk which have go public and hereinafter lok for correlation EVA with Z Score, EVA with Value Stocks Market and Z Score with Value Stocks Market. Result of calculation indicate that :Acquirement of net profit do not is forever followed with result of assessment of EVA which are positive, and even negativity, its meaning of acquirement of net pr...

Este trabajo propone y valida un modelo bottom-up para optimizar la rentabilidad de centros de cirugía ambulatoria en mercados transfronterizos. Formulamos un programa lineal que maximiza ingresos sujetos a (i) restricción de capacidad por tiempo de quirófano, (ii) piso de margen operativo y (iii) demanda efectiva por procedimiento y mercado. Integramos para cada CPT precios netos por pagador, tiempos quirúrgicos estandarizados, costos variables (consumibles/implantes) y costos semivariables por turno, con prorrateo de overhead. Probamos el modelo en una cartera inicial de procedimientos ortopédicos, columna y plástica funcional, estimando EBITDA por OR-hora, punto de equilibrio y la frontera ocupación-margen en escenarios 40–85% de utilización. Los resultados muestran que (a) el control de mix payor y (b) la selección de CPT con alta razón “ticket neto/tiempo-insumo” explican >70% de la variación en margen, y que un piso de margen bien calibrado evita soluciones “trampa” intensivas en tiempo con rentabilidad débil. El enfoque es replicable por especialidad y sede.

Penilaian profitabilitas dan tingkat pengembalian ekuitas koperasi dapat diukur dari berbagai sisi yang meliputi masalah permodalan, kualitas aktiva produktif, manajemen, peningkatan, likuiditas, kemandirian dan pertumbuhan dan jati diri koperasi. Dasar teori pada penelitian ini yaitu, akuntansi manajemen, laporan keuangan, macam-macam laporan keuangan, klasifikasi analisis laopran keuangan, analisis ( Du Pont ) , koperasi. Tujuan penelitian ini adalah untuk mengetahui profitabilitas dan tingkat pengembalian ekuitas pada tahun 2015 dan 2014 yang dilakukan oleh koperasi Credit Union Daya Lestari Samarinda. Du Pont adalah analisa yang menggabungkan rasio-rasio aktivitas dan margin keuantungan atas penjualan untuk menunjukan bagaimana rasio-rasio tersebut berinteraksi untuk menentukan profitabilitas aktiva-aktiva yang dimilki perusahaan. Dalam melakukan analisis tersebut maka dibutuhkan data yang siap untuk diolah. Data yang dibutuhkan pada penelitian ini adalah laporan keuangan kopera...

Untuk mengukur kinerja keuangan dari perusahaan dapat menggunakan rasio keuangan selama periode tertentu. Pengukuran kinerja keuangan ini harus sesuai dengan standar akuntansi secara umum dalam menyusun laporan keuangan. Dengan menggunakan rasio keuangan dalam mengukur kinerja, terkadang kinerja keuangan suatu perusahan terlihat baik, namun tidak menunjukkan suatu peningkatan dan penurunan selama periode tertentu. Oleh karena itu, dibutuhkan alat ukur yang dapat menunjukkan peningkatan dan penurunan dari nilai ekonomi perusahaan tersebut. Metode Economic Value Added (EVA) merupakan salah satu pengukuran yang sangat relevan dalam mengukur kinerja keuangan perusahaan karena dapat menunjukkan seberapa besar nilai tambah yang dihasilkan oleh perusahaan selama periode tertentu. Penelitian ini menggunakan metode penelitian deskriptif kualitatif dengan menggunakan data sekunder yaitu laporan keuangan PT. Bank Mandiri (Persero) Tbk yang diperoleh dari publikasi periode tahun 2022 sampai dengan 2024. Tujuan dari penelitian ini adalah untuk mengetahui kinerja keuangan PT. Bank Mandiri (Persero) Tbk dengan metode Economic Value Added (EVA) periode tahun 2022 sampai dengan tahun 2024. Economic Value Added (EVA) merupakan suatu nilai tambah yang diperoleh suatu perusahaan dengan mengeluarkan biaya modal. Hasil penelitian ini menunjukkan bahwa kinerja keuangan PT. Bank Mandiri (Persero) Tbk dengan metode

Untuk mengukur kinerja keuangan dari perusahaan dapat menggunakan rasio keuangan selama periode tertentu. Pengukuran kinerja keuangan ini harus sesuai dengan standar akuntansi secara umum dalam menyusun laporan keuangan. Dengan menggunakan rasio keuangan dalam mengukur kinerja, terkadang kinerja keuangan suatu perusahan terlihat baik, namun tidak menunjukkan suatu peningkatan dan penurunan selama periode tertentu. Oleh karena itu, dibutuhkan alat ukur yang dapat menunjukkan peningkatan dan penurunan dari nilai ekonomi perusahaan tersebut. Metode Economic Value Added (EVA) merupakan salah satu pengukuran yang sangat relevan dalam mengukur kinerja keuangan perusahaan karena dapat menunjukkan seberapa besar nilai tambah yang dihasilkan oleh perusahaan selama periode tertentu. Penelitian ini menggunakan metode penelitian deskriptif kualitatif dengan menggunakan data sekunder yaitu laporan keuangan PT. Bank Mandiri (Persero) Tbk yang diperoleh dari publikasi periode tahun 2022 sampai dengan 2024. Tujuan dari penelitian ini adalah untuk mengetahui kinerja keuangan PT. Bank Mandiri (Persero) Tbk dengan metode Economic Value Added (EVA) periode tahun 2022 sampai dengan tahun 2024. Economic Value Added (EVA) merupakan suatu nilai tambah yang diperoleh suatu perusahaan dengan mengeluarkan biaya modal. Hasil penelitian ini menunjukkan bahwa kinerja keuangan PT. Bank Mandiri (Persero) Tbk dengan metode

Tujuan penelitian ini adalah untuk menguji dan menganalisis pengaruh kinerja keuangan yang diproksikan dengan Return on Asset (ROA) dan Debt to Equity ratio (DER) terhadap return saham pada perusahaan Manufaktur yang terdaftar di Bursa Efek Indonesia (BEI). Metode analisis yang digunakan adalah metode regresi linier berganda serta mengunakan uji asumsi klasik untuk menguji penyimpangan klasik yang biasanya terjadi, diantaranya uji normalitas, multikolonieritas, heterokedatisitas dan autokorelasi. Analisis regresi linier berganda ini dilakukan dengan bantuan program komputer SPSS (Statistical Product and Service Sollution) Ver. 19. Sampel yang digunakan pada penelitian ini berjumlah 13 perusahaan pada perusahaan manufaktur yang terdaftar di Bursa Efek Indonesia dengan periode pengamatan selama 4 tahun, mulai tahun 2009 s.d. 2012. Berdasarkan hasil penelitian menunjukkan bahwa kinerja keuangan yang diproksikan dengan  Retun on Asset (ROA) dan Debt to Equity Ratio (DER)  tidak berpenga...

This paper presents an algebraic model to study the extent to which inflation distorts Economic Value Added (EVA). The model consists of a theoretical finn in steady state, consisting entirely of projects with the same known internal rate of return. The EVA this finn reports is then calculated, and compared to the true economic profit calculated from the known return of the fInn. The model shows that both conventional EVA and EVA based on the current value of assets are distorted by inflation. The distortion in the latter is more systematic, and this could fonn the basis of an adjusted EVA calculation to provide an estimate actual profitability. Economic value added (EVA) is a new name for an old concept, economic profit. Economic profit is the revenue generated by a finn after the cost of the capital it employs has been taken into account. called this economic value added (and abbreviated it to EVA, a tenn subsequently registered as a trademark by the finn Stem Stewart & Co). Stewart fonnalised the calculation of EV A and advocated its wide use in financial decision making. He recommends that managers should aim to maximise EV A instead of maximising profits, and that EVA should be used for "setting goals, evaluating perfonnance, detennining bonuses, communicating with investors, and for capital budgeting and valuations of all sorts" (Stewart 1991: 4). EV A is based on accounting profit. It is well known that the accounting return a firm reports is often a poor proxy for its true return. This discrepancy between accounting and true return is exacerbated by inflation. EV A will be distorted by inflation too. De ViIliers (1997) studied this distortion and found that inflation distorts EV A to such an extent that it cannot be used under inflation to estimate

Penilaian kinerja menjadi sangat penting untuk perusahaan yang telah terbuka karena perusahaan tersebut harus senantiasa mampu melakukan penciptaan nilai. Penilaian kinerja internal dilakukan untuk membantu menentukan strategi yang sesuai dengan keadaan perusahaan. Penilaian kinerja eksternal bertujuan untuk pengambilan keputusan investasi bagi investor. Penelitian ini merupakan penelitian kualitatif dengan menggunakan 30 perusahaan consumer goods dan dilakukan analisis dari tahun 2011 hingga 2015. Hasil dari penelitian ini dari sisi penilaian kinerja internal adalah 8 perusahaan masuk dalam kuadran A financial strategy matrix, 14 perusahaan masuk dalam kuadran B financial strategy matrix, 2 perusahaan masuk dalam kuadran C financial strategy matrix, 6 perusahan masuk dalam kuadran D financial strategy matrix. Hasil dari penilaian kinerja eksternal adalah 8 perusahaan masuk dalam kuadran excellent value managers, 11 perusahaan masuk dalam kuadran expectation builders, 11 perusahaan ...

Company activity can not be separated from its working capital. Working capital is budget that serves to fund activity company. Activity company can run in efficient and has not obstacles financial if have capital adequate. Working capital adequate used as the main thing in business activities. The activity of companies that had the purpose of administering and monitor assets smoothly and liability in the form of obtain the purpose company called working capital management. A company that can afford manage working capital well can create a big profit. Understand the state of working capital and the act of governance working capital that might improve the corporate profits is mission this research. Activities clarification using data figures obtained from balance sheet and losers the company is profit model this research. PT. Pabrik Kertas Tjiwi Kimia, Tbk is the site research. The state of working capital companies experienced fluctuations and profit down. It can be proofed from its...

Return is one of the factors that investors pay attention in determining their investment policies. For this reason, this study analyzes the effect of several conventional financial performance indicators such as total asset turnover, current assets, debt to equity ratio, and return on assets to stock returns. Other variables that are seen as new indicators such as economic value added, human economic value added, and value added intellectual capital are also examined for their effects on stock returns. Companies engaged in the energy sector in Indonesia and Malaysia were made as objects in this study. OLS regression is used to analyze the effect of independent variables on the dependent variable. The results of an analysis of energy company data in Indonesia show that debt to equity ratio and human economic value added have a negative and significant effect on stock returns, while economic value added and value added intellectual capital have a positive and significant effect on st...

Distributed under Creative Commons CC-BY 4.0 Measurement and performance evaluation of a business is nowadays a very topical issue, but at the same time considerably extensive and complex process. According to , in general, the performance can be

Keuntungan sering kali menjadi salah satu ukuran kinerja perusahaan. Ketika perusahaan memperoleh keuntungan yang tinggi, berarti kinerjanya dianggap baik dan sebaliknya. Para investor di pasar modal sangat memperhatikan kemampuan perusahaan dalam menghasilkan dan meningkatkan keuntungan. Penelitian ini dilakukan untuk menganalisis rasio kuangan pada

In today’s turbulent times, Corporate have realized the importance of human capital in the corporate world. But there was no such method suggested to show human capital in the framework of conventional accounting. After an exhaustive literature survey, the paper has focused on financial approach towards human capital management and has developed a conceptual managerial decision making model of Economic Value Added (EVA) with incorporation of human capital in the calculation of Weighted Average Cost of Capital (WACC) which will help the organizations in the long run to know the real value of EVA which has become the real indicator for the increase or decrease in shareholders fund. The appropriate value of EVA differs from organizations to organizations depending upon different HR practices, size, and nature and planned outcomes of the business. The paper first has explored the concept of EVA and Human Capital Management and economic definitions cited in Google website and has attempt...

The aim of this research is to analyze both accounting and market performance indicators and study their impact on the firm value of EMAAR Properties PJSC Corporation operating in UAE. Several statistical analyses were conducted such as descriptive analysis, coefficient of variation, correlation and regression analyses. Based on the coefficient of variation, the results of analysis show high instability and variability over the years. In addition, correlation analysis reveals that accounting-based profitability indicators have are strongly & positively tied to associated performance on the market value to book value indicator. Both earnings per share and price earnings ratio have either negative or weak relationship with other indicators. Moreover, regression analyses indicate that market value to book value indicator is the most determinant indicator on the firm value.

There are many modern and traditional methods in valuing the performance of the company among them EVA, CVA are modern methods where as EPS, ROI, ROE etc. are some of the traditional methods. modern and traditional methods are not only used to check the performance of a company but it also used in investment decisions by the investors. Stern Stewart, managing partner of M/s Stern Stewart & Co. introduced a modified concept of economic profit in 1990 in the name of Economic Value Added (EVA) as measure of business performance and CVA is only a cash consideration in EVA. In this paper an attempt is made to study which method is used by the investors while taking the investment decisions i.e. traditional methods are modern methods. 100 respondents (Investors) are questioned and collected their views, we are assuming that there is no impact of traditional or modern methods while taking investment decisions by the investors.

There are many modern and traditional methods in valuing the performance of the company among them EVA, CVA are modern methods where as EPS, ROI, ROE etc. are some of the traditional methods. modern and traditional methods are not only used to check the performance of a company but it also used in investment decisions by the investors. Stern Stewart, managing partner of M/s Stern Stewart & Co. introduced a modified concept of economic profit in 1990 in the name of Economic Value Added (EVA) as measure of business performance and CVA is only a cash consideration in EVA. In this paper an attempt is made to study which method is used by the investors while taking the investment decisions i.e. traditional methods are modern methods. 100 respondents (Investors) are questioned and collected their views, we are assuming that there is no impact of traditional or modern methods while taking investment decisions by the investors.

This study aims to analyze the financial performance of PT Pos Indonesia (Persero) based on liquidity and profitability ratios during the period 2020-2024. The research method used is quantitative, and the data source is secondary data with a data collection technique used is the documentation method from the company's official financial statements. The data processing techniques used are descriptive statistical analysis and ratio analysis. The liquidity ratios analyzed include Current Ratio, Quick Ratio, and Cash Ratio, while the profitability ratios include Net Profit Margin, Return on Assets, and Return on Equity. The analysis results indicate that the liquidity ratios of PT Pos Indonesia (Persero) are categorized as not good, where the average value of Current Ratio is 1,34 times and the average value of Quick Ratio is 1,32 times are below industry standards, although the average value of Cash Ratio is 69% categorized as good. The financial performance based on profitability ratios on the average value of Return on Assets is 8% and the average value of Return on Equity is 14% are below industry standards, although the average value of Net Profit Margin is 20% is in accordance the industry standard and can be categorized as good.

Stock valuation is one important thing in investing. The aim is to help investors to minimize the risk of investment through intrinsic value in making investment decisions. The evaluation model for calculating intrinsic value is fundamental analysis with Free Cash Flow to Equity (FCFE) and Price Earning Ratio (PER). In addition, an assessment of financial performance using the Economic Value Added (EVA) point of view is added to determine the company's ability to empower its capital as one of the parameters in investment decisions. By using regression analysis, it is found that EVA is not able to be a predictor of FCFE, while EVA can be a predictor of PER. The results of the calculations, there are not companies that have the results according to the recommendations. Investors or stakeholders can choose the company according to the point of view they want or need, they tend to value stocks by looking at the company's available cash flows or more interested in assessing the company's income and stock prices. According to the calculation results, the results of undervalued stocks in the stock valuation analysis (FCFE/PER) and the lowest negative EVA results from the undervalued stocks can be an option.

In investing activities, investors have various options to choose financial instruments in the capital market such as stocks and bonds. Stocks are one of the most popular assets in the capital market. However, that investing involves high risks and challenges for investors. To reduce this risk, stock valuation is used before choosing the decision to be taken on the desired stock.  Stock valuation is one important thing in investing. The aim is to help investors to minimize the risk of investment through intrinsic value in making investment decisions. The evaluation model for calculating intrinsic value is fundamental analysis with Free Cash Flow to Equity (FCFE) and Price Earning Ratio (PER). In addition, an assessment of financial performance using the Economic Value Added (EVA) point of view is added to determine the company's ability to empower its capital as one of the parameters in investment decisions. By using regression analysis, it is found that EVA is not able to be a ...

This study aims to analyze the financial performance of a selected company through the interpretation of financial statements such as the Profit and Loss Account, Balance Sheet, and Cash Flow Statement. As of 2025, with economic recovery, global financial restructuring, inflation volatility, and technological disruptions shaping market dynamics, financial performance analysis becomes indispensable. Businesses face increasing scrutiny from investors, lenders, and regulatory bodies, making transparency and performance tracking a vital component of their strategic planning. This research evaluates the financial condition of the selected company using comparative balance sheet analysis, common-size financial statements, trend interpretation, and financial ratios such as liquidity, profitability, solvency, and efficiency ratios. Each tool has been selected for its ability to offer both historical insights and future implications. The analysis is aimed at stakeholders who depend on financial data to evaluate business health, forecast sustainability, and plan investment decisions. The study concludes with practical recommendations for the company's future growth, resource optimization, and financial risk minimization. The results support stakeholders in making data-driven decisions and establishing effective growth strategies.

Managerial activities in managing the assets of the healthier of course wanted his company could pay its operating needs, be it short term or long term. Therefore, companies need to work out the structure of assets which are qualified to run the company so as not to get caught up in the cash that is not liquid. Sales or profit to the company.   The goal of the research is analyzing and critiquing asset management in PT Sumi Indo Wiring Tbk. with a period of 2012-2016 (5 year period) to get performance results against corporate asset management in PT Sumi Indo Wiring Tbk.   The results of the Research company showed that companies investing the excess in fixed assets, this is evidenced by the existence of a decrease in Fixed Assets Turn Over from the period 2012-2016. This is an indication that companies are less able to manage the asset sales remains meaningful. and have the increasingly year operating cost increases, this can be proved by the graph of fluctuating operating profit m...

This report examines the Asset and Liability Management (ALM) framework of HDFC Bank Limited, with a focus on how the bank manages its financial assets and liabilities to maintain stability, liquidity, and profitability. The study gains special relevance in the context of the 2023 merger between HDFC Bank and its parent company, Housing Development Finance Corporation, which significantly impacted the bank’s balance sheet, notably increasing the Loan-to-Deposit Ratio (LDR) to 110%. Using secondary data from annual reports and the bank’s official website, the analysis covers the period from 2018 to 2023 and utilizes tools such as comparative financial statements, trend analysis, and regression models. Key findings indicate consistent growth in equity share capital, reserves, net worth, deposits, investments, and advances, though borrowings and other liabilities showed some fluctuations. Regression results with R² values above 99% suggest a strong relationship between historical and current financial indicators, affirming the success of HDFC Bank’s ALM strategies. Nonetheless, the study notes post-merger challenges in sustaining optimal liquidity and regulatory compliance. It concludes that ALM is essential for managing interest rate and liquidity risks, especially during significant structural changes.

This study compares Non-Performing Assets (NPAs) of Union Bank of India and ICICI Bank from 2013 to 2023. It analyzes trends, causes, and the impact of NPAs on profitability using data from annual reports, RBI sources, and financial databases. Tools like trend and ratio analysis, along with correlation analysis, were applied. Results show Union Bank had higher NPAs than ICICI Bank, affecting profitability negatively. ICICI’s stronger credit evaluation and recovery systems helped maintain lower NPAs. The study highlights the need for improved risk management and digital tools in public sector banks to reduce NPAs and strengthen financial performance.

This study aims to results information system of cash flow Analysis to determine company’s health. Cash flow analysis in the form of a cash flow statement describing the receipt, cash disbursement and final cash balance in a period for monitoring and decision making. Cash flow analysis is classified into three activities, namely cash flow from operating activities (OCF), cash flow from investing activities (OCF), cash flow from financing activities (OCF). This study took samples on companies listed on the BEI and equaled namely Mahaka Media Tbk and ABM Investama Tbk. The results of this study show that ABM Investama is a healthy company because the value of OCF in positive (+), while at Mahaka Media Tbk is an unhealthy company because the value of OCF is negative (-).

The objective of this study is to examine the performance of listed companies in Karachi Stock Exchange by using economic value added (EVA) and market value added (MVA). To estimate performance of seven industrial sectors in Pakistan EVA is used along with operating cash flow, net operating profit after tax, net income and return on equity. Multiple regression models are applied on cross sectional data of 35 firms from seven sectors of Pakistan for year 2012 and 2013. Results and their analysis are portraying the actual picture for EVA in Pakistan indicating that ability of EVA to explain MVA is not significant.

Fokus utama penelitian ialah mengevaluasi kinerja keuangan dari PT Indocement Tunggal Prakarsa Tbk selama periode 2021 hingga 2023 melalui penerapan metode analisis Du Pont. Pendekatan ini mengkaji efisiensi dan profitabilitas perusahaan dengan menggunakan tiga indikator utama: Net Profit Margin (NPM), Total Asset Turnover (TATO), dan Equity Multiplier (EM), yang bersama-sama membentuk Return on Equity (ROE). Sumber data sekunder penelitian dihimpun dari laporan keuangan tahunan perusahaan yang disediakan secaara terbuka diwebsite resmi. Kinerja keuangan berubah selama periode yang ditinjau, menurut hasil analisis. Variabel seperti efisiensi operasional, tingkat penjualan, dan struktur pendanaan perusahaan memengaruhi fluktuasi tersebut. ROE menunjukkan peningkatan pada tahun 2021, tetapi turun pada tahun 2022 sebelum kembali menunjukkan kenaikan di tahun 2023. Temuan ini mengindikasikan metode Du Pont efektif dalam mengidentifikasi determinan utama ROE serta memberikan gambaran komprehensif mengenai struktur kinerja keuangan sebuah perusahaan. Diharapkan penelitian ini akan memberikan saran strategis bagi manajemen dan investor saat menilai kondisi dan prospek keuangan dari perusahaan.

This study aims to assess the financial performance of companies in the Heavy Construction and Civil Engineering subsector listed on the Indonesia Stock Exchange (IDX) during the period of 2021 to 2023 using a value-based approach, namely Economic Value Added (EVA), Market Value Added (MVA), and Financial Value Added (FVA). The data were obtained from the financial statements of 10 companies selected through purposive sampling. The analysis revealed that 8 out of the 10 companies recorded positive EVA, with an industry average of IDR 208.85 billion. In contrast, only 3 companies showed positive MVA, while the overall industry average for MVA remained negative at approximately IDR (1.93 trillion). All sampled companies reported positive FVA, with an average value of IDR 1.09 trillion. These findings suggest that while the firms are able to create economic and financial value, they continue to face challenges in building or maintaining market trust

Este artigo tem como objetivo mensurar o valor de mercado do patrimônio líquido de uma empresa de capital fechado do setor de implementos rodoviários, localizada no estado do Rio Grande do Sul. A motivação do estudo reside na demonstração prática da metodologia do Fluxo de Caixa Descontado (FCD) como ferramenta para avaliação empresarial. A pesquisa é de natureza aplicada, com base em dados financeiros, contábeis e projeções econômicas da empresa. Foram utilizados procedimentos técnicos como pesquisa documental, análise contábil-financeira e estudo de caso, sendo escolhida uma organização ficticiamente nomeada de Implementos Rodoviários Ltda., com data-base em 31/12/2024. A coleta de dados foi realizada a partir de documentos fornecidos pela própria empresa, incluindo balanço patrimonial, DRE, projeções futuras do mercado e entrevistas com a alta gestão. Os resultados obtidos indicaram que o valor de mercado do patrimônio líquido da empresa, com base no método FCD, é de R$ 65.244.366,12. Conclui-se que, embora o FCD seja um método robusto, ele demanda atenção especial às projeções futuras, ao custo de capital e ao valor residual, pois pequenas variações nesses elementos podem gerar impactos significativos no valor final estimado.

The economic added value is an indicator that represents a performance measurement of the real economic profit obtained by a company, which allows to predict the company's success or failure over a certain period of time. The use of EVA in the measurement of a company's financial and economic performances is considered to be better due to the fact that it offers a basis for a comparison between companies, by taking into account both the cost of capital and the company's degree of risk. The study of economic value became a widely debated issue nowadays because the main objective of any company is maximizing shareholders'profits.

Para acompanhar as mudanças na forma de administrar empresas, o contador deve passar a deter conhecimentos suficientes relacionados ao Valor Econômico Adicionado ou Agregado, também conhecido como Economic Value Added (EVA). O poder do conceito do Valor Econômico Agregado (EVA) origina-se da idéia de que não se pode conhecer se uma operação está realmente criando valor, levando-se em conta o custo de oportunidade de todo o capital utilizado. Na maioria das operações internas das companhias, não se tem idéia de qual ou de quanto é o valor agregado pelas mesmas.

RESUMO Para acompanhar as mudanças na forma de administrar empresas, o contador deve passar a deter conhecimentos suficientes relacionados ao Valor Econômico Adicionado ou Agregado, também conhecido como Economic Value Added (EVA). O poder do conceito do Valor Econômico Agregado (EVA) origina-se da idéia de que não se pode conhecer se uma operação está realmente criando valor, levando-se em conta o custo de oportunidade de todo o capital utilizado. Na maioria das operações internas das companhias, não se tem idéia de qual ou de quanto é o valor agregado pelas mesmas. PALAVRAS-CHAVE Valor econômico adicionado, mensuração. ABSTRACT To follow the changes in the way to administer companies, the accountant must have sufficient knowledge related to the Economic Value Added (EVA). The power of to the Economic Value Added (EVA) concept was originated fron the idea that one can not know if an operation is really creating value, talçing in to account the opportunit cost of all the utilized ca...

This study shows the importance of analysis of financial performance of Public Sector Undertaking. The concept of economic value added was given by the Stern Stewart & Co. in order to measure the surplus value created by investment in 1991. EVA is a modern technique to evaluate the financial performance of an entity. MVA is the sum total of all present values of future EVAs.This study measure the impact of liquidity, profitability and solvency on Economic Value Added and Market Value Added of Hindustan Petroleum Corporation Limited. This study is based on the secondary sources of data. The financial data of fifteen years of the HPCL has been taken for an appropriate analysis and interpretation of data to get conclusion for the present study as well as to forward the suggestions for the greater interest of the stakeholders. The independent variables of the study are current ratio, liquid ratio, gross profit ratio, net profit ratio, debt-equity ratio and interest coverage ratio. On the other hand economic value added and market value added are considered as dependent variables. In this study, researcher has used simple regression analysis on SPSS. It is concluded that gross profit ratio, net profit ratio, debt equity ratio and interest coverage ratio have a statistically significant influence on economic value added except liquidity ratios. The MVA was not found satisfactory during the study period. High fluctuations were recorded in MVA.

A growing number of companies use EVA or related measures of economic profits as metrics for corporate planning and executive compensation. Unlike traditional accounting measures of performance, EVA attempts to measure the value that firms create or destroy by subtracting a capital charge from the cash returns they generate on invested capital. For this reason, EVA is seen by its proponents as providing the most reliable year‐to‐year indicator of a market based performance measure known as market value added, or MVA.Although EVA and MVA have received considerable attention in recent years, there has been little empirical study of these performance measures—and what studies have been produced have provided mixed results. This study joins the debate over EVA vs. conventional accounting measures by asking a different question: Which performance measures do the best job of explaining not only stock returns, but the probability that a CEO will be dismissed for poor performance?Using a sa...

The purpose of this paper is to examine the post-mergers and acquisitions financial performance of banks listed on the Ghana Stock Exchange using a value-based approach (proxied by economic value added (EVA), market value added (MVA) and cash value added (CVA). A cross-sectional survey was employed comprising four (4) acquirer banks listed on Ghana Stock Exchange. Data were analyzed using descriptive statistics and regression analyses. The acquisitions in the Ghanaian Banking Sector resulted in value addition regarding EVA. The acquisition was successful with MVA. The banking sector recorded an abysmal performance in CVA over the acquisition period which shows that the banks face liquidity problems. The overall post-acquisition financial performance of the banks of negative GHȼ56,845,508 is an indication that the acquisition has not resulted in value additions to shareholders. The overall fall in value lends to the massive loss in CVA. The study rejects the first hypothesis that there is a significant positive effect of EVA on MVA of acquirer banks listed on the Ghana Stock Exchange. The results indicate a significant positive effect of EVA on CVA of acquirer banks listed on the Ghana Stock Exchange. The study also confirms that MVA has a significant positive effect on CVA of acquirer banks listed on the Ghana Stock Exchange. The study employed only a single research methodological approach, therefore future research could be undertaken using a mixed approach and triangulate to compare findings. Furthermore, the findings from the present study are cross-sectional, considering the limitations there in, a longitudinal approach should be explored. Emphasis should be place on value-based financial performance metrics that indicate whether shareholder value is maximised or destroyed post acquisition. This will help practitioners make legitimate decisions and conclusions that can foster business growth.

The purpose of this study is to examine the comparative relationship of value-added and conventional financial performance indicators with stock returns of listed companies of Pakistan Stock Exchange. Stock Return (SR) is used as an outcome variable, whereas, for measuring explanatory variables, Traditional Financial Performance indicators includes return on assets (ROA), return on equity (ROE), Return on Capital Employed (ROCE) and Earnings Per Share (EPS) whereas  modern performance indicators is measured through  economic value added (EVA), economic value added movement (EVAM), economic value added spread (EVAS). The sample consists of 107 companies and having 856 observations of non-financial sector listed on Pakistan Stock Exchange (PSX) for the time period 2011 to 2018. Findings reveal that stock returns are more influenced by the value that is created by listed companies for their shareholders than the accounting profits. The study aims at providing useful information for the...