Revenue Growth, Profit Growth, and Stock Prices: Ownership Structure Moderation
DOI:
https://doi.org/10.47065/arbitrase.v5i3.2259Keywords:
Revenue Growth; Profit Growth; Ownership Structure; Stock PricesAbstract
This study examines the effect of revenue and profit growth on the stock prices of PT Bali Bintang Sejahtera, Tbk, using financial report data from Bali United from January 2017 to December 2023 with E-Views 12 software. The analysis shows that revenue growth has a significant impact on profit growth (p=0.0127) and stock prices (p<0.0001). Meanwhile, profit growth has a significantly negative effect on stock prices (p=0.0013). The moderation of ownership structure on the relationship between profit growth and stock prices is not directly significant (p=0.4560), but the interaction between profit growth and ownership structure shows marginal significance (coefficient=0.461212, p=0.0931). Furthermore, the Sobel test indicates that profit growth partially mediates the impact of revenue growth on stock prices significantly (Sobel test statistic=2.0268, p=0.0427). This result is supported by the Aroian test (p=0.0468) and Goodman test (p=0.0369). These findings provide new insights into financial literature, particularly in the context of the football industry. Investors value revenue growth and club reputation more than short-term profits. This study reveals that the relationship between revenue growth, profit, and stock prices in the football industry exhibits unique dynamics compared to other sectors, highlighting the distinctive way football economics operates.
Downloads
References
Abassy, S., & Morskogen, W. (2024). How does ownership structure influence debt and liquidity for football clubs in Europe?? [Umeå School of Business, Economics and Statistics]. https://www.diva-portal.org/smash/get/diva2:1863019/FULLTEXT01.pdf
Abbas, N. H. (2023). The impact sporting and financial performance of football clubs on their stock price: an analytical study of European clubs sample listed in the financial market. Review of Behavioral Finance, 15(3), 340–354. https://doi.org/10.1108/RBF-11-2021-0242
Abi R. Azira Nasution, Diantimala, Y., & Yahya, M. R. (2024). The Effect Of Corporate Board And Ownership Structure On Financial Performance. Jurnal Akuntansi, 28(1), 166–183. https://doi.org/10.24912/ja.v28i1.1690
Acquah-sam, E. (2021). Developing Sports for Economic Growth and Development in Developing Countries. ESJ Social Sciences, 17(15), 172–216. https://doi.org/https://doi.org/10.19044/esj.2021.v17n15p172
Alabi, M., & Urquhart, A. (2023). Football finance and Covid-19. Sports Economics Review, 4(November), 100021. https://doi.org/10.1016/j.serev.2023.100021
Alaminos, D., Esteban, I., & Fernández-Gámez, M. A. (2020). Financial performance analysis in European football clubs. Entropy, 22(9), 1–16. https://doi.org/10.3390/E22091056
Ali, M. M., Abdulzahra, A. N., Khbela, S. I., Kadhim, H. K., & Khaghaany, M. M. (2023). Measuring the Strategic Performance of Football Clubs Using the Balanced Score Card Technique. Ann Appl Sport Sci, 11(1), 1–9. https://doi.org/10.52547/aassjournal.1125
Alkurdi, A., Hamad, A., Thneibat, H., & Elmarzouky, M. (2021). Ownership structure’s effect on financial performance: An empirical analysis of Jordanian listed firms. Cogent Business & Management, 8(1). https://doi.org/10.1080/23311975.2021.1939930
Arimurti, T., Astriani, D., & Sabaruddin. (2022). Pengaruh Leverage, Return on Asset (Roa) Dan Intensitas Modal Terhadap Penghindaran Pajak Dengan Transparansi Sebagai Variabel Moderasi Pada Perusahaan Manufaktur Yang Terdaftar Di Bursa Efek Indonesia. KRISNA: Kumpulan Riset Akuntansi, 13(2), 299–315. https://doi.org/10.22225/kr.13.2.2022.299-315
Beiderbeck, D., Frevel, N., Krüger, H., Küpper, J., & Tacke, T. (2020). The value pitch: The importance of team management. https://www.mckinsey.com/industries/consumer-packaged-goods/our-insights/the-value-pitch-the-importance-of-team-value-management#/
Bergantiños, G., & Moreno-Ternero, J. D. (2021). Compromising to share the revenues from broadcasting sports leagues. Journal of Economic Behavior & Organization, 183, 57–74. https://doi.org/10.1016/j.jebo.2020.12.011
Botoc, C., Mihancea, E., & Molcut, A. (2019). FOOTBALL AND STOCK MARKET PERFORMANCE CORRELATION: EVIDENCE FROM ITALY. Scientific Annals of Economics and Business, 66(4), 525–539. https://doi.org/10.47743/saeb-2019-0044
Dias, A. (2021). Moving the Ball Forward: Multi-Club Ownership and Competitive Advantages in Football Title: Moving the Ball Forward: Multi-Club Ownership and Competitive Advantages in Football (Issue January).
Evans, R., Walters, G., & Hamil, S. (2024). Football club ownership and sporting ambition. Managing Sport and Leisure, 1–13. https://doi.org/10.1080/23750472.2024.2380712
Fakataulavelua, A., Lang, M., & Moulard, J. (2023). Streaming the beautiful game: exploring big tech’s growing presence in the soccer industry. Frontiers in Sports and Active Living, 5(June), 1–15. https://doi.org/10.3389/fspor.2023.1156601
Fan, M., Chen, X., Liu, B., Zhou, F., Gong, B., & Tao, R. (2023). An analysis of financial risk assessment of globally listed football clubs. Heliyon, 9(12), e22886. https://doi.org/10.1016/j.heliyon.2023.e22886
Faraudello, A., & Gelmini, L. (2019). Football, corporate ownership, and conflicts of interest: Dark spaces and black boxes. Corporate Ownership and Control, 16(3), 29–35. https://doi.org/10.22495/cocv16i3art3
Gimet, C., & Montchaud, S. (2016). What Drives European Football Clubs’ Stock Returns and Volatility? International Journal of the Economics of Business, 23(3), 351–390. https://doi.org/10.1080/13571516.2016.1204686
Hagen, J., & Nascimento Cunha, M. (2019). The History of Investing in Football and Factors Affecting Stock Price of Listed Football Clubs. International Journal of Financial Management, 9(4), 31–41.
Hamdi, K., Mohamed Amine, N., & Hassan, G. (2024). European football club market value and sporting performance: the moderating effect of player transfers, fans engagement and coaching changes. Managerial Finance, ahead-of-print(ahead-of-print). https://doi.org/10.1108/MF-05-2024-0363
Hammerschmidt, J., Durst, S., Kraus, S., & Puumalainen, K. (2021). Technological Forecasting & Social Change Professional football clubs and empirical evidence from the COVID-19 crisis?: Time for sport entrepreneurship?? Technological Forecasting & Social Change, 165, 120572. https://doi.org/https://doi.org/10.1016/j.techfore.2021.120572
Ho, J. K. S. (2021). Allowing dual class share structure companies in the Premium listing segment of the London Stock Exchange: Appreciating international experiences and recognizing local conditions. Capital Markets Law Journal, 16(3), 356–390. https://doi.org/10.1093/cmlj/kmab016
Hohmann, F. (2021). Strategies for Football Clubs Financial Sustainability. Www.Footballbusinessinside.Com, 1–28. https://www.footballbusinessinside.com/report-strategies-for-football-clubs-financial-sustainability/
Jakar, G., & Gerretsen, S. (2021). Ownership in European Soccer, Financial Fair Play, and Performance in UEFA’s 2006–2018 Champions League Tournaments. Journal of Sport Management, 35(6), 511–521. https://doi.org/10.1123/jsm.2020-0217
Jensen, M. C., & Meckling, W. H. (1976). Theory of the Firm?: Managerial Behavior , Agency Costs and Ownership Structure. Journal of Financial Economics, 3, 305–360. https://doi.org/doi:10.1016/0304-405X(76)90026-X
Kevser, M., & Dogan, M. (2022). Comparative Analysis of the Financial Performance of 5 Major Football Clubs in Uefa Ranking. Muhasebe Bilim Dünyas? Dergisi, 24(2), 436–460. https://doi.org/10.31460/mbdd.984685
Litvishko, O., Veynberg, R., & Bodrov, I. (2019). Original Article Investment potential of the football industry. Journal of Physical Education and Sport, 19(4), 2390–2396. https://doi.org/10.7752/jpes.2019.04362
Maci, G., Pacelli, V., & D’Apolito, E. (2020). The Determinants of Stock Prices of European Football Clubs: An Empirical Analysis. International Journal of Economics, Finance and Management Sciences, 8(5), 168. https://doi.org/10.11648/j.ijefm.20200805.11
Majewska, A., & Majewska, A. (2022). Are social media matter for the football club finance? Procedia Computer Science, 207, 2068–2076. https://doi.org/10.1016/j.procs.2022.09.266
Mccunn, R. (2024). Giving youth a chance: Addressing the agency problem in professional football (Issue July). The London School of Economics and Political Science.
Miragaia, D., Ferreira, J., Carvalho, A., & Ratten, V. (2019). Interactions between financial efficiency and sports performance: Data for a sustainable entrepreneurial approach of European professional football clubs. Journal of Entrepreneurship and Public Policy, 8(1), 84–102. https://doi.org/10.1108/JEPP-D-18-00060
Mustafi, Z., Bayle, E., & Terrien, M. (2025). Non-Big five football clubs’ strategies for generating transfer revenues: the case of Switzerland’s Super League. Soccer & Society, 26(1), 62–79. https://doi.org/10.1080/14660970.2024.2374254
Naelly, & Mustafa, M. (2020). The Effect of Leverage, Profitability, Liquidity, and Asset Growth on Corporate Value of Consumption Goods Sectors Listed in Idonesia Stock Exchange in 2015-2018. International Journal of Innovative Science and Research Technology, 5(8), 626–634. https://doi.org/10.38124/IJISRT20AUG014
Nikmah, U., Fajarini, I., & Wahyuningrum, S. (2020). Accounting Analysis Journal The Effect of Financial Performance on Profit Growth Moderated by CSR Disclosure. Accounting Analysis Journal, 9(2), 179–185. https://doi.org/10.15294/aaj.v9i3.42070
Nurcahyani, F. D., & Bhilawa, L. (2021). Pengaruh Kinerja Keuangan dan Kinerja Olahraga Terhadap Harga Saham Klub Sepak bola. Jurnal Akuntansi, 13(1), 72–83.
Nuseir, M. T. (2020). The effects of sponsorship on the promotion of sports events. Int. J. Business Innovation and Research, 22(2), 191–207.
Prayoga, H., Dharma, F., & Sukmasari, D. (2022). The effect of sports performance and financial performance on European soccer club stock prices. Asian Journal of Economics and Business Management, 1(2), 92–99. https://doi.org/10.53402/ajebm.v1i2.83
Prigge, S., & Tegtmeier, L. (2019). Market valuation and risk profile of listed European football clubs. Sport, Business and Management: An International Journal, 9(2), 146–163. https://doi.org/10.1108/SBM-04-2018-0033
Prigge, S., & Tegtmeier, L. (2020). Football stocks?: a new asset class attractive to institutional investors?? Empirical results and impulses for researching investor motivations beyond return. Sport, Business and Management: An International Journal, 10(4), 471–494. https://doi.org/https://doi.org/10.1108/SBM-07-2019-0063
Prinz, A., & Thiem, S. (2021). Value-maximizing football clubs. Scottish Journal of Political Economy, May, 605–622. https://doi.org/10.1111/sjpe.12282
Priya, Gustina, & Jum’an. (2023). Factors Influencing The Stock Prices Of Companies. Journal of Education, Economics, and Technology, 1(1), 33–39.
PT. Bali Bintang Sejahtera., T. (2022). Annual Report 2022.
Puspa, D. R. (2019). PENGARUH CAR, NPL, BOPO, DAN LDR TERHADAP PERTUMBUHAN LABA PADA BANK YANG LISTED DI BURSA EFEK INDONESIA. JURNAL MANAJEMEN & ORGANISASI REVIEW (MANOR), 1(1), 1–11. https://doi.org/10.47354/mjo.v1i1.84
Sánchez, L. C., Barajas, A., & Sanchez-Fernandez, P. (2020). Fans in the ownership of Big Five leagues: lessons for better football governance. Soccer & Society, 22(4), 355–371. https://doi.org/10.1080/14660970.2020.1819800
Sauer, T., Anagnostopoulos, C., Zülch, H., & Werthmann, L. (2024). Creating value in football: unveiling business activities and strategies of financial investors. Managing Sport and Leisure, 1–21. https://doi.org/10.1080/23750472.2024.2314568
Scarfe, R., Singleton, C., & Telemo, P. (2021). Extreme Wages, Performance, and Superstars in a Market for Footballers. Industrial Relations: A Journal of Economy and Society, 60(1), 84–118. https://doi.org/10.1111/irel.12270
Setiawati. (2021). Analisis Pengaruh Kebijakan Deviden terhadap Nilai Perusahaan pada Perusahaan Farmasi di BEI. Jurnal Inovasi Penelitian, 1(8), 1581–1590.
Spence, M. (1972). Job Market Signaling. Quartely Journal of Economics, 87, 355–379. http://www.jstor.org/stable/1882010
Supino, E., & Marano, M. (2024). Capital gains from player transfers as a value creation tool: some evidence from European listed football clubs. Sport, Business and Management: An International Journal, 14(1), 80–98. https://doi.org/10.1108/SBM-03-2023-0029
Tarighi, R., Sheikh, M., & Rostami, M. S. (2022). The effect of brand personality on the loyalty of football clubs fans: A case of Nassaji Mazandaran. Journal of Humanistic Approach to Sport and Exercise Studies (HASES), 2(3), 307–314.
Toma, S.-G., & Catanã Stefan. (2021). The Value Of Brand in the Football Industry. Annals-Economy Series, 1, 27–31.
Tversy, A., & Kahneman, D. (1973). Availability?: A Heuristic for Judging Frequency. Cognitive Psychology, 5(2), 207–232. https://doi.org/https://doi.org/10.1016/0010-0285(73)90033-9
Valaskova, K., Androniceanu, A.-M., Zvarikova, K., & Olah, J. (2021). Bonds Between Earnings Management and Corporate Financial Stability in the Context of the Competitive Ability of Enterprises. Journal of Competitiveness, 13(4), 167–184. https://doi.org/10.7441/joc.2021.04.10
Yiapanas, G., Thrassou, A., & Vrontis, D. (2023). The contemporary football industry: a value-based analysis of social, business structural and organisational stakeholders. Accounting, Auditing and Accountability Journal. https://doi.org/10.1108/AAAJ-06-2022-5855
Zülch, H., Palme, M., & Jost, S. P. (2020). Management quality of professional football clubs: the Football Management (FoMa) Q-Score 2018. Sport, Business and Management: An International Journal, 10(5), 567–598. https://doi.org/10.1108/SBM-10-2019-0092
Bila bermanfaat silahkan share artikel ini
Berikan Komentar Anda terhadap artikel Revenue Growth, Profit Growth, and Stock Prices: Ownership Structure Moderation
ARTICLE HISTORY
Issue
Section
Copyright (c) 2025 Muhammad Irfai Sohilauw
This work is licensed under a Creative Commons Attribution 4.0 International License.
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under Creative Commons Attribution 4.0 International License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (Refer to The Effect of Open Access).
