Effects of Diversification on Profitability and Operating Risk for Brazilian Publicly Traded Companies

Abstract This study analyzed the effect of industrial and international diversification on the profitability and operational risk of Brazilian companies. The sample comprised 210 publicly traded Brazilian companies, who trade shares on the B3 stock exchange. The results of the study showed that industrially diversified companies both reduce operational risk and increase profitability in terms of return on assets, while companies that are internationally diversified reduce their profitability. As well, the companies that diversify both industrially and internationally, see increasedoperational risk. This study is relevant to the investigation of the relationship of industrial and international diversification in companies' operating results, as it indicates that, in the context of Brazil, industrial diversification tends to improve operating results, with an increase in profitability and a reduction in operating risk.

摘要 本研究分析了产业多元化与国际化多元化对巴西企业盈利能力及运营风险的影响。研究样本涵盖210家在巴西B3证券交易所挂牌交易的公开上市巴西企业。研究结果显示，实施产业多元化的企业可同时降低运营风险并提升资产收益率；而实施国际化多元化的企业则会出现盈利能力下滑。此外，同时开展产业多元化与国际化多元化的企业，其运营风险会有所上升。本研究对于探究产业多元化、国际化多元化与企业经营绩效之间的关联具有重要意义：研究结果表明，在巴西市场背景下，产业多元化往往能够改善企业经营绩效，实现盈利能力提升与运营风险降低。