Working Capital and Profitability Performance Evidence from Indonesian Mining Companies Listed in the Indonesian Stock Exchange

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Franky Mantiri
Pak Lee


Financial data from the 10 biggest Indonesian mining companies listed on the Indonesian Stock Exchange (IDX), from the period of 2011 to 2015, were collected and analyzed. The purpose of this study was to establish the relationship among working capital components, including financial performance as measured by return on assets (ROA). The results of the study indicated that there are some weak positive correlations between working capital elements and profitability (return on assets), and some negative correlations between working capital elements and ROA. Overall, the correlations were weak and not significant.


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