Operating Expenses and Their Influence on the Profit Margins of a Textile Manufacturing Company

Abstract

This research aims to analyze operating expenses and their relationship with the profit margins of the company Arte Andino Mundo Textil in 2024, which specializes in the production of artisanal sweaters in the city of Juliaca. Methodologically, a quantitative approach is adopted, with a correlational, cross-sectional, non-experimental scope. Through the application of data collection sheets, the quarterly financial data for 2024 was analyzed, comprising 12 observations focused on operating expenses and profit margins. The results revealed a correlation between raw material expenses and profit of 0.290 (p = 0.360), direct labor and profit of0.229 (p = 0.474), and indirect costs and profit of -0.081 (p = 0.804). The overall correlation between operating expenses and profit margins was 0.319 (p = 0.058), suggesting that although there is a weak positive relationship, it is not statistically significant. It is concluded that operating expenses are not determining factors in the profit margins of Arte Andino Mundo Textil, and it is recommended to explore other influential aspects in its profitability.