Measuring the Impact of Liquidity, Profitability and Volume on Financial Performance: An Analytical Study of a Sample of Industrial Companies Listed in the Iraq Stock Exchange

Abstract

The study aimed to identify the impact of each company's size, profitability and liquidity on the financial performance practices in the Iraqi industrial companies environment. The research sample included the financial reports of 23 companies registered in the Iraq Stock Exchange for the period from 2010 to 2020, and the impact of these variables was measured according to regression using the weighted least squares method. The study concluded that most of the sample companies practice the profit management process, albeit at a low level. Significant effect of company size on the financial performance of the research sample companies. Where the results of the analysis showed the existence of a significant effect with a significant statistical significance represented by a coefficient of determination of 41% for each of the volume, profitability and liquidity in the financial performance, and the analysis of variance proved the validity of this effect. The study recommended that companies should work on developing the economic infrastructure through energy use The unemployed, and working to increase spending in each of the research and development fields in order to join international companies.