Istanbul Journal of Economics

SUBMITINFORMATION
EnglishTürkçe

Research Article


DOI :10.26650/ISTJECON2022-1209479   IUP :10.26650/ISTJECON2022-1209479    Full Text (PDF)

Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma

İbrahim Kaya, Hakan Özçelik

Finansal piyasalardaki gelişim ve değişimin paralelinde nakit akış tablosu önemli bir finansal tablo haline gelmiş, nakit akış bilgilerinin firma yöneticileri ve yatırımcılar için stratejik değeri artmıştır. Bu çalışmada; nakit akış bilgilerinin firma performansı üzerine olan etkisinin öçlümü amaçlanmıştır. Amaç kapsamında, 2014 - 2019 dönemini kapsayan BİST 100 şirketlerinden mali kuruluşlar hariç, imalat ve imalat dışı sektörde faaliyet gösteren 57 firmanın verileri kullanılmıştır. Çalışmada geliştirilen modelde, bağımsız değişken olarak nakit akış tablosu verileri kullanılırken, bağımlı değişken olarak performans değerleme oranlarından aktif karlılık oranı, özsermaye karlılık oranı ve Tobin q oranı seçilmiştir. Çalışma sonucunda, nakit akışlarının işletme performansını etkilediği tespit edilmiştir. ROA ile işletme faaliyetlerinden nakit akışları, ROE ile finansman faaliyetlerinden nakit akışları ve ödenen temettü bilgisi ve Tobin q ile dönem sonu nakit bilgisi arasındaki istatiksel anlamdaki pozitif yönlü ilişkiler, çalışmada ön plana çıkan sonuçlar olarak değerlendirilmiştir.

Keywords: Nakit akış tablosu, Firma performans oranları, Panel veri analizi
JEL Classification : C33 , M40 , M41
DOI :10.26650/ISTJECON2022-1209479   IUP :10.26650/ISTJECON2022-1209479    Full Text (PDF)

The Effect of Cash Flows on Firm Performance: A Research on BIST

İbrahim Kaya, Hakan Özçelik

In line with the development and change in the financial markets, the cash flow statement has become an important financial statement, and the strategic value of cash flow information for company managers and investors has increased. In this study; it is aimed to measure the effect of cash flow information on firm performance. Within the scope of the purpose, data of 57 companies operating in manufacturing and non-manufacturing sectors, excluding financial institutions, from BIST 100 companies covering the period of 2014 - 2019 were used. In the model developed in the study, cash flow statement data was used as the independent variable, while the return on assets ratio (ROA), return on equity ratio (ROE) and Tobin q ratio were selected as dependent variables. As a result of the study, it was determined that cash flows influence business performance. The statistically significant positive relationships between cash flows from operating activities and ROA, cash flows from financing activities and ROE, and dividend payments and Tobin’s q ratio with end-of-period cash balance were identified as the prominent results of the study.

Keywords: Cash flow statement, Firm performance ratios, Panel data analysis
JEL Classification : C33 , M40 , M41

EXTENDED ABSTRACT


Continuous measurement of periodic performance is necessary for businesses in terms of their fundamental objectives of profitability and sustained growth. Financial analysis reveals the current state of the business from the past to the present and contributes to improving the accuracy of managerial decisions by making predictions about its future. Traditionally, financial analysis has focused on balance sheet and income statement information, evaluating these statements based on derived ratios. However, in parallel with the development and change in financial markets, the required information in financial analysis has diversified and expanded, incorporating the need for cash flow information. In this context, the cash flow statement has become the center of attention for business managers, potential investors who invest or intend to invest in the capital market, and credit institutions due to the benefits it provides.

In international financial reporting, it is mandatory to prepare cash flow statements and integrate them as an integral part of the financial statements. The cash flow statement displays the cash inflows and outflows generated by an entity during a specific period, categorized under operating, investing, and financing activities. It serves as a bridge between the income statement and the balance sheet, providing users with information that cannot be obtained from these financial statements. The cash flow statement presents a detailed breakdown of

cash flows, offering insights into the operating, investing, and financing activities of the business.

The aim of this study is to analyze the impact of cash flow statements on firm performance. Within the scope of this objective, cash flow statements prepared according to the 6-year International Accounting Standards (IAS) for the years 2014 and 2019 were examined for companies listed on Borsa Istanbul’s BIST 100 index. From the cash flow statement data, independent variables were identified as cash flows from operating activities (CFOA), net income (NI), changes in operating working capital (COWC), cash flows from activities (CFFO), cash flows from investing activities (CFIA), cash flows from financing activities (CFFA), dividend payments (DP), and ending cash and cash equivalents (ECE). The dependent variables are return on assets (ROA), return on equity (ROE), and Tobin’s q ratio. Panel data analysis was used to evaluate the impact of cash flow information on firm performance for companies operating in the manufacturing and non-manufacturing sectors of Borsa Istanbul.

In the manufacturing sector, a positive relationship was found between ROA and cash flows from operating activities, net income, and dividend payments, while a negative relationship was observed with changes in operating working capital. In non-manufacturing sectors, a positive relationship was identified between ROA and net income as well as between ROA and ending cash. In both the manufacturing and non-manufacturing sectors of Borsa Istanbul, a positive relationship was observed between ROA and net income.

In the manufacturing sector, a positive relationship was found between ROE and net income, cash flows from financing activities, and dividend payments, while a negative relationship was observed with changes in operating working capital. For companies operating outside the manufacturing sector, a positive relationship was identified between ROE and net income. In both groups, a positive relationship was observed between ROE and net income.

In the manufacturing sector, Tobin’s q was found to have a positive relationship with ending cash. In non-manufacturing sector firms, a positive relationship was observed between Tobin’s q and changes in operating working capital. However, when both groups were evaluated, no consistent relationship was found between cash flow information and Tobin’s q, similar to the findings for ROA and ROE.

The study aimed to assess the impact of cash flow information on firm performance. Within the scope of the evaluation, the relationship between cash flow information and the performance evaluation criteria of ROA, ROE, and Tobin’s q was examined using panel data analysis to determine its statistical significance. The findings revealed that cash flow information has a significant influence on firm performance.

In academic studies, the impact of cash flow information on firm performance can be evaluated by using different dependent and independent variables. The knowledge that cash flow information affects firm performance can be utilized as a tool by financial market participants in making investment decisions. Cash flow information, which has a lower risk of manipulation compared to balance sheet and income statement data, will contribute significantly as it enhances transparency levels.


PDF View

References

  • Bakhsh, A., Shah, S. Z. A., & Nawaz, M. A. (2018). Significance of ınternal cash flows on ınvestment of a firm and use of cash flow sensitivity as financial constraints: a panel data analysis, Pakistan Social Sciences Review Vol. 2, No. 2, pp.65-78. google scholar
  • Baldemir, E. ve Keskiner, A. (2004), Devalüasyon, para, reel gelir değişkenlerinin dış ticaret üzerine etkisinin panel data yöntemiyle Türkiye için incelenmesi, Dokuz Eylül Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, ss.44-59. google scholar
  • Baltagi, B. (2005). Econometric analysis of panel data. West Sussex: John Wiley & Sons. google scholar
  • Boyd, T., & Cortese-Danile, T. M. (2000). Using the cash flow statement to ımprove credit analysis credit analysis. CommercialLending Review, 16, pp.55-59. google scholar
  • Carpenter, R. E., and Guariglia A., (2003). Cash flow, investment, and investment opportunities (the University of Nottingham, School of Economics, Nottingham). google scholar
  • Croisant Y, Millo G (2018). Panel data econometrics with r: the plm package. Wiley google scholar
  • Dastgir, M., Khodabandeh, R., (2005). The relationship between the information content of main components of cash flow statements, and return of stocks. google scholar
  • Driscoll, J. C., & Kraay, A. C. (1998). Consistent covarian cematrix estimation with spatially dependent panel data. Review of Economics and Statistics, 80(4), pp.549-560. google scholar
  • Farnemyhr ve Lunstrom (2014). negative operating cash flows-a signal for well-performing commercial banks? A quantitative correlational study of eurozone banks. School of Business, Economics and Law Bachelor's thesis in Accounting Department of Accounting. University of Gothenburg google scholar
  • Fazzari, S., Hubbard, R.G. and Petersen, B.C. (1988). Financing constraints and corporate investment. Brookings Papers on Economic Activity, Vol. 1, 41-195. google scholar
  • Frank, B. P.; James, O. K. (2014). Cash flow and corporate performance: a study of selected food and beverages companies in nigeria. European Journal of Accounting Auditing and Finance Research, 2 (7), pp. 77-87. google scholar
  • Fridson, M. S., & Alvarez, F. (2002). Financial statement analysis: a practitioner's guide (3rd Ed). New York: John Wiley & Sons. google scholar
  • Gheshlaghi, F. D. R., Ahmadzadeh, Y. & Faal, F. (2014). The cash flow statement's component effect on management performance in firms enlisted in Tehran Stock Exchange. UCT, Journal of Management and Accounting Studies. Vol. 2 (1), 14 - 21 google scholar
  • Gujarati, Damodar N. (2004). Basic econometrics, McGraw-Hill, New York. google scholar
  • Güvemli, B., Taysı, K., & Saygı, N. (2021). Nakit akışlarının hisse senedi getirileri ve özkaynak karlılığı üzerindeki etkileri: türkiye sigorta endeksi örneği. Muhasebe ve Finansman Dergisi, ss.233-248. google scholar
  • Hansen B.E (1995). Rethinking the univariate approach to unit root testing: using covariates to ıncrease power, Econometric Theory, 11(5), pp.1148-1171. google scholar
  • Kısakürek, Mustafa ve M. Akif Ayarlıoğlu. (2007). Endirekt yönteme göre nakit akım tablosunun hazırlanması, Hacettepe Üniversitesi İİBF Dergisi, Sayı:1, ss.193-213 google scholar
  • Kieso, D. E., Weygandt, J. J., & Warfield, T. D. (2013). Intermediate accounting (IFRS Edition, 2nd Edition). Hoboken, Nj: Wiley. google scholar
  • Liman M and Mohammed (2018). Operating cash flow and corporate financial performance of listed conglomerate companies in nigeria. IOSR Journal of Humanities and Social Science (IOSR-JHS) Volume 23, Isue 2, pp.1-11 google scholar
  • Ni, Y., Huang, P., Chiang, P., & Liao, Y. (2019). Cash flow statements and firm value: evidence from taiwan. The Quarterly Review of Economics and Finance, 71, pp.280-290. google scholar
  • Özbirecikli, M., Kıymetli Şen, İ., & Tüm, K. (2017). Uygulamaya dönük örnekli açıklamalarla büyük ve orta boy firmaler için finansal raporlama standardı bobifrs. Ankara: Detay Yayıncılık. google scholar
  • Salehi, M. (2009). Tobin's q model and cash flows from operating and ınvesting activities in listed companies in Iran. Zagreb International Review of Economics & Business, 12(1), pp.71-82. google scholar
  • Sims, Christopher A., (1980). Macroeconomics and reality. Econometrica, Vol:8, No:1, pp.1-48. Torres-Reyna, O. (2010) Panel data analysis. fixed and random effects. Online Training Section-DSS at Princeton University. google scholar
  • Wicklin, R. (2011). Log transformation: how to handle negative data values? The.Doo.Loop. URL:blogs.sas.com. http://blogs.sas.com/content/iml/2011/04/27/log-transformations-how-to-handle-negative-data values/ erişim tarihi 26.09.2022 Zeileis, A., Hothorn, T. (2002). Diagnostic Checking in Regresion Relationships. R News 2(3), 7-10. URL https:// Cran.R-project.org/doc/Rnews/. google scholar

Citations

Copy and paste a formatted citation or use one of the options to export in your chosen format


EXPORT



APA

Kaya, İ., & Özçelik, H. (2023). Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma. Istanbul Journal of Economics, 73(1), 333-358. https://doi.org/10.26650/ISTJECON2022-1209479


AMA

Kaya İ, Özçelik H. Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma. Istanbul Journal of Economics. 2023;73(1):333-358. https://doi.org/10.26650/ISTJECON2022-1209479


ABNT

Kaya, İ.; Özçelik, H. Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma. Istanbul Journal of Economics, [Publisher Location], v. 73, n. 1, p. 333-358, 2023.


Chicago: Author-Date Style

Kaya, İbrahim, and Hakan Özçelik. 2023. “Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma.” Istanbul Journal of Economics 73, no. 1: 333-358. https://doi.org/10.26650/ISTJECON2022-1209479


Chicago: Humanities Style

Kaya, İbrahim, and Hakan Özçelik. “Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma.” Istanbul Journal of Economics 73, no. 1 (Sep. 2023): 333-358. https://doi.org/10.26650/ISTJECON2022-1209479


Harvard: Australian Style

Kaya, İ & Özçelik, H 2023, 'Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma', Istanbul Journal of Economics, vol. 73, no. 1, pp. 333-358, viewed 30 Sep. 2023, https://doi.org/10.26650/ISTJECON2022-1209479


Harvard: Author-Date Style

Kaya, İ. and Özçelik, H. (2023) ‘Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma’, Istanbul Journal of Economics, 73(1), pp. 333-358. https://doi.org/10.26650/ISTJECON2022-1209479 (30 Sep. 2023).


MLA

Kaya, İbrahim, and Hakan Özçelik. “Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma.” Istanbul Journal of Economics, vol. 73, no. 1, 2023, pp. 333-358. [Database Container], https://doi.org/10.26650/ISTJECON2022-1209479


Vancouver

Kaya İ, Özçelik H. Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma. Istanbul Journal of Economics [Internet]. 30 Sep. 2023 [cited 30 Sep. 2023];73(1):333-358. Available from: https://doi.org/10.26650/ISTJECON2022-1209479 doi: 10.26650/ISTJECON2022-1209479


ISNAD

Kaya, İbrahim - Özçelik, Hakan. “Nakit Akışlarının Firma Performansı Üzerine Etkisi: BİST Üzerine Bir Araştırma”. Istanbul Journal of Economics 73/1 (Sep. 2023): 333-358. https://doi.org/10.26650/ISTJECON2022-1209479



TIMELINE


Submitted24.11.2022
Accepted01.06.2023
Published Online15.06.2023

LICENCE


Attribution-NonCommercial (CC BY-NC)

This license lets others remix, tweak, and build upon your work non-commercially, and although their new works must also acknowledge you and be non-commercial, they don’t have to license their derivative works on the same terms.


SHARE




Istanbul University Press aims to contribute to the dissemination of ever growing scientific knowledge through publication of high quality scientific journals and books in accordance with the international publishing standards and ethics. Istanbul University Press follows an open access, non-commercial, scholarly publishing.