The Effect of Financial Factors and Firm Size on the Profitability of Greek Private Healthcare Organizations in Times of Economic Crisis

European Journal of Economics, Finance and Administrative Sciences, 95, 118-129.

12 Pages Posted: 26 Feb 2018

See all articles by Anastasios Magoutas

Anastasios Magoutas

Hellenic Open University

Panos Chountalas

University of Piraeus; Hellenic Open University

Chryssa Konstantinidou

Amgen Hellas

Date Written: August 1, 2017

Abstract

The purpose of this paper is to identify the critical factors currently affecting the financial performance of the private healthcare organizations in Greece, and also discussing the impact of the economic crisis on them. For this purpose, we analyzed financial data from a sample consisted of 79 healthcare organizations for a 5-year period that begins in 2010 and ends in 2014. The econometric results of the research showed that the recent economic crisis has led to a differentiation of some key financial ratios between smaller and larger healthcare organizations. Most notably, the former seem to achieve increased profitability than the latter. Our findings also suggest that the financial performance of healthcare organizations is influenced positively by the current liquidity and the managerial efficiency of the firms, while it is influenced negatively by the financial leverage.

Keywords: healthcare organizations; financial performance; panel data; Greece

Suggested Citation

Magoutas, Anastasios and Chountalas, Panos and Konstantinidou, Chryssa, The Effect of Financial Factors and Firm Size on the Profitability of Greek Private Healthcare Organizations in Times of Economic Crisis (August 1, 2017). European Journal of Economics, Finance and Administrative Sciences, 95, 118-129.. Available at SSRN: https://ssrn.com/abstract=3115733

Anastasios Magoutas (Contact Author)

Hellenic Open University ( email )

Parodos Aristotelous 18
Patra, 26335
Greece

Panos Chountalas

University of Piraeus ( email )

Piraeus
Greece

Hellenic Open University ( email )

Parodos Aristotelous 18
Patra, 26335
Greece

Chryssa Konstantinidou

Amgen Hellas ( email )

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