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Capital Structure and Financial Performance: Evidence from Sugar Industry in Karachi Stock Exchange Pakistan

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  • Sohail Younus
  • Khurram Ishfaq
  • Muhammad Usman
  • Muhammad Azeem

Abstract

This study is attempted to identify the impact between capital structure and performance in which core area is financial performance of sugar companies listed in Karachi Stock Exchange Pakistan (KSE Pakistan). For this purpose secondary data was utilized from company’s financial reports, annual reports and state bank of Pakistan (SBP) Financial review for the period of six years (2006-2011). The results show that there is weak positive correlation between capital structure and financial performance at 0.354. Coefficient of determination is .125. F and T values are 28.060 and -5.297 respectively which shows insignificant level of the sugar companies listed in KSE Pakistan.

Suggested Citation

  • Sohail Younus & Khurram Ishfaq & Muhammad Usman & Muhammad Azeem, 2014. "Capital Structure and Financial Performance: Evidence from Sugar Industry in Karachi Stock Exchange Pakistan," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 4(4), pages 272-279, October.
    • Handle: RePEc:hur:ijaraf:v:4:y:2014:i:4:p:272-279
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    1. Wan Mohd Nazri Wan Daud & Norlia Mat Norwani & Anizawati Ahmad Mansor & Wan Anisah Endut, 2016. "Does Financing Decision Influence Corporate Performance in Malaysia?," International Journal of Economics and Financial Issues, Econjournals, vol. 6(3), pages 1165-1171.
    2. David Haritone Shikumo, 2021. "Effect of Share Capital on Financial Growth of Non-Financial Firms Listed at the Nairobi Securities Exchange," Papers 2108.10244, arXiv.org.
    3. Zakariyah, Mariam Adetoun & Isiaka, Olawale Kabiru, 2024. "The Impact of Financial Performance on Capital Structure Decisions of Selected Consumer Goods Companies Listed on the Nigerian Stock Exchange (2001-2019)," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 11(2), pages 436-453, February.
    4. David Haritone Shikumo & Oluoch Oluoch & Joshua Matanda Wepukhulu, 2023. "Financial Structure, Firm Size and Financial Growth of Non-Financial Firms Listed at the Nairobi Securities Exchange," Papers 2303.10910, arXiv.org.

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