Using a panel data approach to determining the key factors of Islamic banks’ profitability in Bahrain

Elseoud, Mohamed Sayed Abou; Yassin, Mohamed A; Ali, Mahmood

doi:10.1080/23311975.2020.1831754

Cited by 15 publications

(13 citation statements)

References 19 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…According to Elseoud et al (2020), one of the main performance of Islamic banks is profitability. However, related to SSB, Mollah and Zaman (2015) argue that financial performance (profitability) is not a function of SSB.…”

Section: Introductionmentioning

confidence: 99%

The influence of the SSB’s characteristics toward Sharia compliance of Islamic banks

Muhammad

Annuar

Taufik

et al. 2021

Cogent Business & Management

View full text Add to dashboard Cite

This paper aims to examine the influence of SSBs' characteristics toward Sharia compliance of Islamic banks in Asia and Gulf Cooperation Council (GCC). An epistemological model of the unity of knowledge was applied to determine the contribution of SSB to the Sharia compliance of Islamic banks that can create the well-being. The samples in this study are Islamic banks in Asia and Gulf Cooperation Countries (GCC) for the period of 2010 to 2018. The characteristics of SSB consist of the number of SSB members, cross membership, level of education, expertise, remuneration and rotation. This study analyzes the data using data panel regression with software of reviews. This study finds that SSB size has negative influence while education and expertise have positive influence toward sharia compliance of Islamic banks. Meanwhile, cross membership, remuneration and rotation of SSB members do not influence sharia compliance of Islamic banks. In general, the role of SSB in carrying out the function of creating well-being for the community has not ABOUT THE AUTHORS

show abstract

Section: Introductionmentioning

confidence: 99%

The influence of the SSB’s characteristics toward Sharia compliance of Islamic banks

Muhammad

Annuar

Taufik

et al. 2021

Cogent Business & Management

View full text Add to dashboard Cite

show abstract

“…Results from previous work [ 3 , 45 , 46 , 49 ] show that economic growth has a positive and significant impact on firm performance. However, empirical evidence also shows, in some cases, that the relationship between profitability and economic growth is negative [ 47 , 100 ]. The research has also concluded that there is no statistically significant relationship between economic growth and profitability [ 39 , 97 ].…”

Section: Methodsmentioning

confidence: 99%

“…In the case of anticipated inflation, companies can ensure that costs do not exceed revenues by adjusting the prices of goods and services beforehand. Therefore, some researchers [ 3 , 39 , 46 , 47 , 100 ] conclude that inflation positively and significantly affects firm profitability. Conversely, when inflation is unanticipated, companies are not able to make appropriate price adjustments, leading to an increase in costs compared to revenues and, hence, a decrease in profitability.…”

Section: Methodsmentioning

confidence: 99%

See 1 more Smart Citation

Profitability determinants of the natural stone industry: Evidence from Spain and Italy

Farías

Martínez²,

Martín-Cervantes³

2022

PLoS ONE

View full text Add to dashboard Cite

The natural stone sector is an important driver of the Spanish and Italian economies, which underwent internationalization after the financial crisis of 2008 as part of a survival and development strategy. This article aims to study the financial and economic profitability of this sector in the two leading European production countries, as well as its determinants. For this purpose, the economic-financial data of a sample composed of 453 companies (203 Spanish and 250 Italian) from 2015–2019 were analyzed using the multiple linear regression methodology. To address the problems of possible endogeneity and omission of variables in the model, the dependent variable was used as a regressor with one and two lags, and panel data with fixed effects were considered after performing the Hausman test. The results show significant differences between the two countries, with higher profitability in Italy. Company size, company growth (measured as the change in assets), and the variation in the country’s GDP all positively affected profitability. At the same time, the level of indebtedness showed a negative relationship. The country’s inflation rate and gender diversity in top management were shown to be non-relevant variables. The research conducted indicates that, to increase profitability, Spanish and Italian companies in the natural stone sector should undergo mergers in order to grow in size, increase efficiency in the use of assets, reduce their dependence on external financing, and promote equity capital. In addition, Italian companies should reduce the average period of payment to suppliers to lower deferral costs, and boost exports to become less dependent on the country’s domestic economy.

show abstract

“…Econometric panel data models [1] were used to emphasize what happened before and after the demerger years, for each company, and at the panel level. We also built econometric models to compare the performance statuses before and after all the demergers.…”

Section: Introductionmentioning

confidence: 99%

Recovery after Demerger: Evidence from Romanian Companies

Duguleană

Baba

et al. 2022

Sustainability

View full text Add to dashboard Cite

The paper follows the demerger phenomenon in Romania in order to find out whether companies regain their economic performance after reorganization. The research is based on four samples of companies, divided into 2012, 2013, 2014, and 2015, that recorded their financial indicators in the period from 2005–2019. Using the financial indicators of companies that demerged in the same year, we analyzed the economic performances before and after the demergers, using statistical and econometric methods. The model with the fixed effects of the cross sections proved to be the most suitable for each panel, both for the entire analyzed period and for the two subperiods: ante and post demerger. The subperiod models are better than the panel econometric models for the entire period. The results show that all of the Romanian companies recovered after the demergers, and also to what extents. The validities of the econometric models confirm the sustainability of the economic activities after the demergers. This paper provides a study methodology and econometric models to investigate the demerger phenomenon among Romanian companies.

show abstract

Using a panel data approach to determining the key factors of Islamic banks’ profitability in Bahrain

Cited by 15 publications

References 19 publications

The influence of the SSB’s characteristics toward Sharia compliance of Islamic banks

The influence of the SSB’s characteristics toward Sharia compliance of Islamic banks

Profitability determinants of the natural stone industry: Evidence from Spain and Italy

Recovery after Demerger: Evidence from Romanian Companies

Contact Info

Product

Resources

About