International Journal of Academic Management Science Research (IJAMSR)   Year: 2021 | Volume: 5 | Issue: 2 | Page No.: 265-279 Logical Consequence Of Liquidity Management On Firm Profitability Authors: Ugwu, Ikechukwu Virginus Ph.D; Ekwochi, Eucharia Adaeze Ph.D; Ogbu, Cyril Gabriel, Ph.D Abstract: Our study is on logical consequence of liquidity management on firm performance. Ex-post factor research design applied, and a purposive sampling technique dwelt on 20 consumer goods that have complete financial information from 2010 to 2019 in the Nigerian Stock Exchange Fact Book, 2020. The analyses techniques adopted Panel data design using: descriptive statistics; Pearson's product moment correlation coefficient; Variance Inflation Factor VIF Test, (Multicollinearity) and multiple regressions. Results indicate that the dependent variable is 56%, jointly explained by the independent variables; while the F-statistics value and P-value show that the regression model is statistically significant. Finally, the four explanatory variables of our study show that: Current ratio management CRM is negatively significant; Quick ratio management QRM is positively insignificant; Cash conversion cycle management CCCM is positively significant; and Operating cash flow OCFM is positively insignificant on the ROA of the polled firms in Nigeria. We recommend, that firm management policy makers, should focus on how to sustain and increase profitability, by properly managing these independent factors; our contributions includes the enormous, rich literature for academia and the modernised model applied for the study. The implication, indicate that some liquidity management components improve firm performance if they are properly managed. However, the efficiency of management policy determines the logical consequence of each of the variables applied on ROA.