Telekom Malaysia Berhad (TM): Study of Relationship Between Performance (ROA) and Internal, External Factor

Teo, Sze Wee (2017): Telekom Malaysia Berhad (TM): Study of Relationship Between Performance (ROA) and Internal, External Factor.

Abstract

This study is carried to determine the relationship between performance (ROA) of Telekom Malaysia Berhad (TM) and internal factor including financial risk and external factor including macroeconomic variable where ROA stand as dependent variable to be measured by the other variable. Data is collected from annual report of TM between year 2011 to 2015. The measurement of the financial risk is to discover the overall performance of the company in the period of 5 years. Additional measurement is involved which is the size of the company show a negative relationship as well as significant related with performance of TM. To examine the relationship of risk factor to the profitability, this study is utilizing current ratio, GDP, leverage ratio, standard deviation, unemployment rate, exchange rate, and inflation rate. Data was analyzed using statistic calculation and presented in the regression result including descriptive statistic, correlation, and model summary. Result showing that exchange rate is only one factor that strongly significant related to the performance of the company. The rest of the variable is less significant affecting and related to the performance of TM.

• Item Type: MPRA Paper
• Language: English
• Keywords: Liquidity risk, profitability, ROA, and macroeconomy.
• Subjects: G - Financial Economics > G3 - Corporate Finance and Governance

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