Page 57 - FREN-C2021 PROCEEDINGS

Conclusion
This paper has examined the determinants of profitability for shariah-compliant firms listed under the
consumer products sector. Although this paper has provided us with empirical evidence, several areas
need to be improved with future empirical research. First, this paper did not provide any sectoral
analysis on the level of profitability. Future research should explore whether industry classification
would have any effect on the level of profitability and its relationship with the selected determinants.
Second, this paper utilizes Stata command vselect in determining the optimal model. A future
researcher might want to explore other techniques in determining the optimal model. Lastly, this
paper only investigated a limited number of independent variables, because of that there could be
incomplete representations of explanations in the use of proxies or the presence of other variables
influencing the performance determinants of all companies. We suggested for another author use
another variable that was not included in this research.

References
Abeyrathna, S. P. (2019). Impact of Firm size on Profitability. International Journal of Scientific and Research
Publications, 9(6), 561-564.

Almaqtari, F. A.‐H. (2019). The determinants of profitability of Indian commercial banks: A panel data
approach. International Journal of Finance & Economics, 24(1), 168-185.

Altavilla, C. B. (2018). Monetary policy and bank profitability in a low-interest-rate environment. Economic
Policy, 33(96), 531-586.

Alvarez, T. S. (2021). Working Capital Management and Profitability: Evidence from an Emergent Economy.
International Journal of Advances in Management and Economics, 11(1), 32-39.

Athari, S. A. (2021). The impact of external governance and regulatory settings on the profitability of Islamic
banks: Evidence from Arab markets. International Journal of Finance & Economics.

Basu, D. &. (2018). Profitability in India’s organized manufacturing sector: The role of technology, distribution
and demand. Cambridge Journal of Economics, 42(1), 137-153.

Bekhet, H. A. (2020). Effects of Internal and External Factors on Profitability of Jordanian Commercial Banks:
Panel Data Approach. International Journal of Financial Research, 11(5), 359-375.

Beretta, A. &. (2019). Variable selection in proportional hazards cure model with time-varying covariates,
application to US bank failures. Journal of Applied Statistics, 46(9), 1529-1549.

Bikker, J. A. (2018). Bank profitability and risk‐taking under low-interest rates. International Journal of Finance
& Economics, 23(1), 3-18.

Bolarinwa, S. T. (2021). Is there a nonlinear relationship between non-performing loans and bank profitability?
Evidence from dynamic panel threshold. Managerial and Decision Economics,, 42(3), 649-661.

Chen, Y. C. (2018). The effect of mandatory CSR disclosure on firm profitability and social externalities:
Evidence from China. Journal of Accounting and Economics, 65(1), 169-190.

Farhan, N. T. (2020). Board composition and firms’ profitability: Empirical evidence from pharmaceutical
industry in India. Journal of International Studies, 13(3), 180-194.

Gaganis, C. P. (2019). Culture, business environment and SMEs' profitability: Evidence from European
Countries. Economic Modelling, 78, 275-292.

Husnain, M. A. (2021). Corporate governance characteristics and firm profitability: empirical evidence from
emerging equity market. International Journal of Management (IJM), 12(3).

[52]