Economic performance and corporate financial management of shipping firms

Hyo-Won Kang (), Grace Wang, Hee-Seok Bang () and Su-Han Woo ()
Additional contact information
Hyo-Won Kang: Sea Grant, University of Southern California
Hee-Seok Bang: Department of International Logistics, Chung-Ang University
Su-Han Woo: Department of International Logistics, Chung-Ang University

Maritime Economics & Logistics, 2016, vol. 18, issue 3, No 6, 317-330

Abstract: Abstract In an increasingly competitive environment, the importance of the economic performance of the maritime sector has been emphasized in the research of the past two decades. Recently, shipping firms have increasingly entered stock markets as an alternative source of finance, avoiding thus excessive debt exposure. It is here considered necessary to use performance measures which combine shareholders’ values with aspects of organizational management. Economic Value Added and Tobin’s Q are used to evaluate the economics performance of shipping firms. Main elements of financial management are used to investigate the determinants of economic performance of shipping companies. 64 international shipping companies listed in Bloomberg Shipping Indices are included in our sample. A panel regression is used to examine the impact of financial strategies on performance, across three market segments. This analysis provides shipping companies with managerial and strategic insights on how financial options influence economic performance. We identify unique common performance-determining characteristics such as operational ones; profitability; and leverage ratio; among tanker, dry bulk and container shipping markets.

Keywords: economic performance; EVA; Tobin’s Q; profitability; leverage (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://link.springer.com/10.1057/mel.2015.8 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:marecl:v:18:y:2016:i:3:d:10.1057_mel.2015.8

Ordering information: This journal article can be ordered from
http://www.springer. ... nt/journal/41278/PS2

DOI: 10.1057/mel.2015.8

Access Statistics for this article

Maritime Economics & Logistics is currently edited by Hercules E. Haralambides

More articles in Maritime Economics & Logistics from Palgrave Macmillan, International Association of Maritime Economists (IAME) Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().