A comparative analysis of effects of financal ratios on profitability: An empirical analysis on BİST listed fabricated metal products manufacturing firms

In this study, the financial performances of metal goods companies traded in Borsa Istanbul were evaluated. While the dependent variable of return on assets (ROA) was included in the study as a performance measure to measure the performance of the firms, the characteristics specific to the fourteen firms that might affect this value were examined in line with the purpose of the study and their relative importance was determined. According to the findings obtained from the study, a statistically significant relationship was found between twelve of the financial ratios included in the data set and return on assets.It was found that the remaining two ratios did not have a statistically significant effect on the return on assets. Accordingly, according to the relative ranking made, the variables affecting the return on assets are respectively risk, short-term borrowing, leverage ratio, fixed asset/total asset ratio, current ratio, growth rate, sales potential, P/E ratio, inventory holding period, market value, firm. its size and debt collection period; It is concluded that liquidity and cash ratio do not have an effect. According to the panel data results obtained from the research, individual and institutional investors, firm owners, managers, policy makers and researchers should consider that firm-specific characteristics have an effect on the return on assets of firms.