EFFECT OF CREDIT MANAGEMENT ON THE PROFITABILITY OF MANUFACTURING FIRMS IN NIGERIA (A CASE OF ADAMA BEVERAGES YOLA LTD ADAMAWA STATE)

This study titled “effect of credit management on the profitability of manufacturing firms in nigeria” The objective of the study is To assess the impact of credit management on profitability in Adama Beverages Adamawa State, To examine the effectiveness of credit management practices on profitability in Adama Beverages Adamawa State. The population of this study consisted of 69 staffs of Adama Breavages which comprises of human resource department (7) staffs, finance and accounting department (25) staffs and office management department (37) staffs. Taro Yamane formula was used to determine the sampe size of 59. Data for the research work is extensively source from both primary and secondary sources. The data analyzes the researcher used simple percentage table to analyse the data while chi-square was used in testing research hypothesis. Using 5% significance. It is recommended that Efficient credit management has contributed to the financial stability and profitability of Adama Beverages. Inadequate credit management practices at Adama Beverages have led to reduced profitability. In conclusion, the research emphasize the vital role of effective credit management in enhancing a firm's profitability and overall financial performance. Firms that implement rigorous credit policies, thorough risk assessments, and efficient loan recovery processes tend to experience better financial outcomes, including higher profitability and improved return on assets (ROA).