EFFECT OF PROPERTY, PLANT & EQUIPMENT (PPE) MANAGEMENT ON FINANCIAL PERFORMANCE OF QUOTED CONSUMER GOODS FIRMS IN NIGERIA

UDEAJA, OLIVIA OBIALUNAMMA (2026) EFFECT OF PROPERTY, PLANT & EQUIPMENT (PPE) MANAGEMENT ON FINANCIAL PERFORMANCE OF QUOTED CONSUMER GOODS FIRMS IN NIGERIA. Other thesis, Godfrey Okoye University, Enugu.

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Abstract

This study examines the effect of Property, Plant and Equipment (PPE) management on the financial performance of quoted consumer goods firms in Nigeria. This study looks at how PPE intensity, PPE turnover and PPE growth rate affect return on assets (ROA), return on equity (ROE) and profit margin respectively. Using an ex-post facto research design, the study utilizes secondary panel data extracted from audited annual reports and financial statements of eight quoted consumer goods firms listed on the Nigerian Exchange Group (NGX) namely NASCON Allied Industries Plc, Flour Mills of Nigeria Plc, Cadbury Nigeria Plc, Unilever Nigeria Plc, BUA Foods Plc, Nestlé Nigeria Plc, Nigerian Breweries Plc, and Dangote Sugar Refinery Plc covering the period 2016 to 2025. The analysis employs fixed effects panel regression, Pedroni cointegration tests, and Panel Vector Error Correction Model (VECM) techniques, with diagnostic tests confirming the absence of multicollinearity, heteroskedasticity, and serial correlation, as well as parameter stability via CUSUM and CUSUMSQ tests. The findings reveal that PPE intensity has a positive and significant effect on ROA (β = 8.4512, p < 0.01); PPE turnover has a positive and significant effect on ROE (β = 6.2341, p < 0.01); and PPE growth rate has a positive and significant effect on profit margin (β = 0.3412, p < 0.01). All three null hypotheses are rejected at the 5% significance level. The models explain 67.34%, 58.34%, and 52.34% of the variation in ROA, ROE, and profit margin respectively. The study concludes that effective PPE management characterized by strategic capital intensity, efficient asset utilization, and sustained investment growth is a critical determinant of financial performance in Nigeria's quoted consumer goods sector. It recommends among others that that management prioritize disciplined capital deepening, enhance asset utilization monitoring, maintain consistent PPE growth trajectories, and adopt real-time PPE management dashboards.

Item Type:	Thesis (Other)
Subjects:	H Social Sciences > H Social Sciences (General)
Divisions:	Faculty of Management and Social Sciences
Depositing User:	Uchenna Eneogwe
Date Deposited:	24 Jul 2026 11:31
Last Modified:	24 Jul 2026 11:31
URI:	http://eprints.gouni.edu.ng/id/eprint/5936

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