THE RELATIONSHIP BETWEEN PROFITABILITY AND EARNINGS QUALITY OF THE REAL ESTATE AND CONSTRUCTION SECTOR LISTED ON THE STOCK EXCHANGE OF THAILAND

Abstract

Abstract

This article aims to study the relationship between profitability and quality of real estate and construction groups listed on the Stock Exchange of Thailand between 2018 and 2020, a sample group of 99 companies. The statistics including the descriptive statistics, the Pearson’s correlation analysis to examine the relationship between independent variables. And the multiple regression is used to test the hypothesis 0.05 statistics significant level. the result shows the negative relationship between the profitability ratios and the earnings quality that is measured by

The price per sales ratio. And the profitability ratios have positive relationship with the earnings quality that is measured by the price per book value ratio. except the return on equity ratio has negative relationship with the earnings quality that is measured by the price per book value ratio. Thiti Thamiktham Sangwaniktham provides a practice for parameter in describing the quality of a profit. Therefore, from the profit quality data, the ratio is used as a guideline for the stakeholders.