RT Journal Article
T1 Impact of working capital management on profitability for Spanish fish canning companies
A1 Rey-Ares, Lucía
A1 Fernández López, Sara
A1 Rodeiro-Pazos, David
K1 Canned seafood companies
K1 Working capital management (WCM)
K1 Profitability
K1 Collection period
K1 Payment period
K1 Cash conversion cycle (CCC)
AB Credit restrictions, such as those happening in the current context shaped by the crisis derived from COVID-19, make working capital management (WCM) a driving force behind SME performance. This paper analyses whether WCM policies affect the economic and financial profitability of Spanish companies in the fish canning industry. Spain leads the EU’s production of canned seafood and the seafood industry is a key sector for the Spanish economy. To assess the WCM-profitability relationship, we applied a dynamic panel data methodology in a sample consisting of 377 companies during the period 2010–2018. We can conclude that the economic profitability of fish canning companies is related to the collection period (Days Sales Outstanding or DSO) and the inventory conversion period (Days Inventory Outstanding or DIO). Moreover, empirical evidence reveals the existence of an optimal level of receivables that balances the benefits of increasing sales and the opportunity costs of customer funding. The findings also identify a convex relationship between investment in inventory and economic profitability.
PB Elsevier
SN 0308-597X
YR 2021
FD 2021
LK http://hdl.handle.net/10347/26219
UL http://hdl.handle.net/10347/26219
LA eng
NO Marine Policy, 130 (2021), 104583
DS Minerva
RD 28 abr 2026