Impact Of Working Capital Management On The Profitability Of Manufacturing Company A Study Of Champion Breweries Nig Plc Uyo.

ABSTRACT

This study is necessitated by the apparent recession and 'unhealthy financial position of most manufacturing companies operating in the country, which eventually wound up, probably as a result of inadequate or bad financial planning on the part of the management or poor working capital management which unfortunately created unemployment and its resultant effects as employees of these distressed companies were retrenched. These contributed in increasing economic hardship in the society, redundancies and as well as heightened criminal activities. Consequent upon these, this research work is focused on the impact of working capital management and the profitability as well as viability of manufacturing companies with particular reference to "champion breweries plc". The highlight of the study shall address such critical issues as how a proper management of working capital can improve profitability, maintain viability and establish a perpetual e8lstence for the improvement of the welfare of the employees, owners and the entire society at large. In an attempt to focus on the impact of working capital in a company, which is the life blood of a company's operation and its management related literatures shall be reviewed on the two variables (1) working capital management and (11) profitability especially in manufacturing companies. In dissecting the variables, working capital refers to all aspect of administration of both current assets and current liabilities, the objectives of which is to promote the overall value of the company. While profitability is a function of positive different between the cost and revenue associated with an operation of any business activity.