Financial performance of the sawntimber industry

Mohd. Shahwahid Othman, . and Salleh Yahya, . and Saroni Judi, . and Rosian A. Ghaffar, . (1991) Financial performance of the sawntimber industry. In: Malaysian forestry and forest products research: proceedings of the conference. Forest Research Institute Malaysia, Kuala Lumpur, Malaysia, pp. 188-194. ISBN 967-9991-563

The sawmilling industry of Peninsular Malaysia is besetted with many problems, in part caused by the fragmented nature of the industry. A restructuring of the industry into fewer number of larger mills was often given. But many of the small scale family operated sawmills have survived and actually remained profitable. This paper will try to compare the financial management performance of these small sawmills from that of their larger counterparts. Financial ratios that measure management levels of working capital, inventories, sales collection and credit payments were analysed. Although larger sawmills are more profitable and productive, smaller mills managed their working capital and assets better. This ability to manage their liquidity could be one of the main reasons for the survival of the smaller sawmills.

Full text available from:

Abstract

The sawmilling industry of Peninsular Malaysia is besetted with many problems, in part caused by the fragmented nature of the industry. A restructuring of the industry into fewer number of larger mills was often given. But many of the small scale family operated sawmills have survived and actually remained profitable. This paper will try to compare the financial management performance of these small sawmills from that of their larger counterparts. Financial ratios that measure management levels of working capital, inventories, sales collection and credit payments were analysed. Although larger sawmills are more profitable and productive, smaller mills managed their working capital and assets better. This ability to manage their liquidity could be one of the main reasons for the survival of the smaller sawmills.

[error in script]

Item Type:	Book Section
Additional Information:	Available at Perpustakaan Sultan Abdul Samad, Universiti Putra Malaysia, 43400 UPM Serdang, Selangor, Malaysia. SD235 M3M239 Call Number
AGROVOC Term:	sawnwood
AGROVOC Term:	wood industry
AGROVOC Term:	forest products
AGROVOC Term:	economic analysis
AGROVOC Term:	cost analysis
AGROVOC Term:	sawmills
AGROVOC Term:	profitability
AGROVOC Term:	industrial development
AGROVOC Term:	production costs
Geographical Term:	Malaysia
Depositing User:	Nor Hasnita Abdul Samat
Date Deposited:	31 Aug 2025 03:17
Last Modified:	31 Aug 2025 03:17
URI:	http://webagris.upm.edu.my/id/eprint/1053

Actions (login required)

View Item