FIRM PERFORMANCE OF MALAYSIAN TELECOMMUNICATION SECTOR IN AI ERA: ALIGNING WITH THE SDGS
DOI:
https://doi.org/10.35631/IJEMP.935061Keywords:
Firm Age, Firm Performance, Firm Size, Leverage, Return on Assets (ROA), Tangibility, Telecommunications Services FirmAbstract
The study examines the determinants of firm performance of Malaysian telecommunications services companies. Thus, the study aims to examine the impact of four independent variables that include leverage, firm size, firm age and tangibility on firm performance. Other than that, the performance of Malaysian telecommunication companies remains inconsistent with the fact that large expenditure on infrastructure and the growing digital demand raise questions about their capability to transform assets into profit. Telecommunication service companies are significant in Malaysia as these companies greatly impact the affected parties in the economy. In this study, the regression model was estimated using pooled ordinary least squares (POLS), random effect model (REM) and Fixed Effects Model (FEM) for the five major telecommunications service companies of the LSEG Data Stream in the years 2015 through 2024 using secondary panel data. The study discovered that leverage is important and shows a positive correlation. Meanwhile, firm size is negatively and significantly related to firm’s performance. Then, firm age and tangibility are not correlated with firm performance. This study provides sector-specific data regarding the relationship between firm performance of Malaysian telecommunications services companies.
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