FACTORS INFLUENCING THE SUSTAINABLE GROWTH OF THE BANKING SECTOR IN THE STOCK EXCHANGE OF THAILAND

Abstract

This study aimed to examine the factors influencing the sustainable growth of the banking sector listed on the Stock Exchange of Thailand. Secondary data, including both cross-sectional and time-series data (Panel data) were collected from ten companies within this sector. The independent variables in the study included total asset turnover, earnings per share, price-to-book ratio, and return on assets. The data were collected quarterly from the first quarter of 2020 to the fourth quarter of 2024, covering a total period of 20 quarters and comprising 200 observations. The analysis employed multiple linear regression.

The findings indicated that a total asset turnover had a positive impact on the sustainable growth of the banking sector in Thailand at a statistical significance level of .05. Conversely, return on assets, earnings per share, and the market-to-book ratio exhibited a negative effect on the sustainable growth rate of the banking sector. The results of this study can serve as strategic information for banking executives to plan and adjust operational policies, assists investors and shareholders in evaluating long-term growth potential, and provides a foundation for future research on financial factors and management strategies that promote organizational sustainability.