Table 3.

Univariate analysis.

	High managerial ability			Low managerial ability
	Mean	SD	Observations	Mean	SD	Observations	Diff	t-stat
M&A	0.0169	0.0816	5510	0.0579	1.3866	5506	0.0410**	2.19
Investment	−0.0008	0.0940	5463	0.0013	0.0235	5355	0.0022*	1.67
Short-debt leverage	0.3833	0.2173	5510	0.3222	0.6205	5506	−0.0610***	−6.89
Long-debt leverage	0.1125	0.1185	5510	0.0719	0.2259	5506	−0.0405***	−11.8
Dividend	0.0066	0.0117	5129	0.0057	0.0110	4510	−0.0009***	−4.07
Cash	0.2181	0.3613	5510	0.2441	0.3348	5506	0.0260***	3.92
ROA	0.0128	0.0184	5510	0.0136	0.0222	5506	0.0008**	2.06
ROE	0.0268	0.0459	5510	0.0226	0.0470	5506	−0.0042***	−4.73
Duality	0.2410	0.4277	5510	0.3777	0.4848	5506	0.1367***	15.69
Board	8.6286	1.7505	5510	8.0779	1.4640	5506	−0.5506***	−17.91
Independence	3.2159	0.5975	5510	3.0168	0.4187	5506	−0.1990***	−20.24
Institutional	0.4928	0.2417	5510	0.3415	0.2353	5506	−0.1513***	−33.28
State	0.4214	0.4938	5510	0.1732	0.3785	5506	−0.2481***	−29.59
Size	23.109	1.2364	5510	21.412	0.7315	5506	−1.6974***	−87.67
Profitability	0.0452	0.0959	5510	0.0261	0.1393	5506	−0.0190***	−8.35
Growth	0.1125	0.3663	5510	0.0806	0.3270	5506	−0.0318***	−4.81
Leverage	0.4911	0.2013	5510	0.3634	0.2025	5506	−0.1276***	−33.16
Cash flow	0.0590	0.0670	5510	0.0561	0.0669	5506	−0.0028***	−2.24
MTB	1.6185	1.0257	5510	2.0914	1.3265	5506	0.4728***	20.92

Notes. This table reports univariate analysis by dividing sample into high versus low managerial ability (based on median splitting). Variables definitions are located in Appendix A.

*** P < 0.01, ** P < 0.05, *P < 0.1.