Comparative Analysis of Simple and Multiple Regressions of selected indicators on Net-Profit of Manufacturing Companies in Nigeria


  • ONU Obineke Henry
  • NELSON Maxwell
  • ALABGE Samson Adekola


This study considered some indicators of Net profit of 10 selected manufacturing companies in Nigeria. The indicators used were Firm Size, Waste Management (Sale of scraps/obsolete, stocks/products) and Age of the companies from 1985 to 2020. The companies considered were Dangote cement plc, premier paints plc, Berger paints plc, Beta gloss plc, First Aluminilum plc, Chemical & Allied products plc, Lafarage plc, DN Meryer plc, Cuftex plc and Portland paints plc. These indicators were used one after the other in a simple linear regression form and then with a multiple linear regression with all the indicators. The Ordinary Least Square (OLS) was applied and the results shows that generally all these models used were not good for the analysis and age of these 10 selected companies contributes more than Firm Size and Waste Management but in a negative angle. As the age of the companies’ increases, the Net profit of these companies decreases by 0.00613.