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CSR and Financial Performance:Evidence from Indian FMCG Companies


Affiliations
1 A. J. Institute of Management, Mangaluru, India
2 Sahyadri College of Engineering and Management, Mangalur, India
 

Today, the businesses worldwide are looking beyond profitability and coming forward to address critical social and environmental issues. Companies' decisions have to be well-adjusted between corporate sustainability and corporate responsibility in order to ensure their endurance. This paper tries to explore the relationship between CSR and Financial Performance Indicators such as Net profit, ROA, ROE and EPS of 10 FMCG Companies.

Correlation and Regression analysis have been used in this study to find the relationship and the impact on the variables. The results reveal that CSR and Net Profit are highly significant, whereas CSR and Return on Assets are slightly significant and EPS and Return on Equity are negatively correlated with CSR.


Keywords

Corporate Social Responsibility (CSR), FMCG, Net Profit, Return on Assets, Return on Equity, EPS.
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  • CSR and Financial Performance:Evidence from Indian FMCG Companies

Abstract Views: 527  |  PDF Views: 655

Authors

Swapna Shetty
A. J. Institute of Management, Mangaluru, India
Molly S. Chaudhuri
Sahyadri College of Engineering and Management, Mangalur, India

Abstract


Today, the businesses worldwide are looking beyond profitability and coming forward to address critical social and environmental issues. Companies' decisions have to be well-adjusted between corporate sustainability and corporate responsibility in order to ensure their endurance. This paper tries to explore the relationship between CSR and Financial Performance Indicators such as Net profit, ROA, ROE and EPS of 10 FMCG Companies.

Correlation and Regression analysis have been used in this study to find the relationship and the impact on the variables. The results reveal that CSR and Net Profit are highly significant, whereas CSR and Return on Assets are slightly significant and EPS and Return on Equity are negatively correlated with CSR.


Keywords


Corporate Social Responsibility (CSR), FMCG, Net Profit, Return on Assets, Return on Equity, EPS.

References





DOI: https://doi.org/10.23872/aj%2F2018%2Fv8%2Fi2%2F180673