THE NEXUS BETWEEN WORKING CAPITAL MANAGEMENT AND CORPORATE PERFORMANCE OF LISTED CONSUMER GOODS COMPANIES IN NIGERIA (2017

The general objective of this study was to examine the relationship between working capital management and corporate performance of listed consumer goods Companies in Nigeria. The study used panel data to conduct a cross-sectional study that covered the five years from 2017 to 2021. The population of the study comprised of twenty-one (21) consumer goods firms in Nigeria, listed in the Nigeria Stock Exchange. Secondary data which were sourced from annual reports and accounts of the studied companies in Nigeria were used for the study period, 2017- 2021. Data were analyzed with Pearson correlation model through the use of SPSS software version 25.0. Findings showed a positive and significant relationship was found between cash conversion cycle, inventory conversion period and return on assets (ROA) of listed consumer goods Companies in Nigeria. However, a negative but significant association was established between account receivable and return on assets (ROA). The study recommended that consumer goods companies in Nigeria should establish their credit policies in a way that will help them easily recover proceeds from receivables so as to effectively reduce the incidence of bad debts and to improve the pace of inventory conversion by removing delays in the conversion process, Doing so would raise profitability and also effectively decrease the occurrence of bad debts.

THE NEXUS BETWEEN WORKING CAPITAL MANAGEMENT AND CORPORATE PERFORMANCE OF LISTED CONSUMER GOODS COMPANIES IN NIGERIA (2017 – 2021)