Does Capital Structure Affects Firms’ Performance in Ghana? Panel Data Analysis

This study is an attempt to determine the capital structure of listed firms in the chemical industry of Pakistan. The study finds that by studying a specific industry's capital structure, one can ascertain unique attributes, which are usually not apparent in the combined analysis of many sectors as done by Shah and Hijazi (2004). This study analyzed 26 of 39 firms in the chemical sector, listed at the Karachi Stack Exchange for the period 1993-2004 using pooled regression in a panel data analysis. Six regressors i.e. firm size, tangibility of assets, profitability, income variation, non-debt tax shield (NDTS) and growth were employed to examine their effects on leverage. The results show that these six independent variables explain 90% of variation in the dependent variable and, except for firm tangibility, results were found to be highly significant. The study has policy implications of importance for researchers, investors, analysts and managers.

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Determinants of Capital Structure: A Case for the Pakistani Cement Industry

THE LAHORE JOURNAL OF ECONOMICS ◽

10.35536/lje.2006.v11.i1.a4 ◽

2006 ◽

Vol 11 (1) ◽

pp. 63-80 ◽

Cited By ~ 13

Author(s):

Syed Tahir Hijazi ◽

Yasir Bin Tariq

Keyword(s):

Data Analysis ◽

Panel Data ◽

Capital Structure ◽

Firm Size ◽

Stock Exchange ◽

Panel Data Analysis ◽

Cement Industry ◽

Combined Analysis ◽

Listed Firms ◽

Independent Variables

This paper attempts to determine the capital structure of listed firms in the cement industry of Pakistan. The study finds that a specific industry’s capital structure exhibits unique attributes which are usually not apparent in the combined analysis of many sectors as done by Shah & Hijazi (2005). The study took 16 of 22 firms in the cement sector, listed at the Karachi Stock Exchange for the period 1997-2001 and analyzed the data by using pooled regression in a panel data analysis. Following the model developed by Rajan & Zingle (1995) it has chosen four independent variables i.e. firm size (measured by natural log of sales), tangibility of assets, profitability and growth and further analyzed the effects on leverage. The results, except for firm size, were found to be highly significant.

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Capital Structure and Corporate Performance: A Panel Data Analysis Based on the Companies Listed on the Stock Exchange of Mauritius

SSRN Electronic Journal ◽

10.2139/ssrn.1321183 ◽

2008 ◽

Author(s):

Roshan Boodhoo

Keyword(s):

Data Analysis ◽

Panel Data ◽

Capital Structure ◽

Corporate Performance ◽

Stock Exchange ◽

Panel Data Analysis

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THE EFFECT OF PROFITABILITY, LIQUIDITY, GROWTH SALES, OPERATING LEVERAGE AND TANGIBILITY ON CAPITAL STRUCTURE (evidence from manufacture firm listed on Indonesia stock exchange in 2011- 2014)

JRMSI - Jurnal Riset Manajemen Sains Indonesia ◽

10.21009/jrmsi.007.1.06 ◽

2016 ◽

Vol 7 (1) ◽

pp. 96

Author(s):

Hamidah Hamidah ◽

Diana Iswara ◽

Umi Mardiyati

Keyword(s):

Data Analysis ◽

Panel Data ◽

Capital Structure ◽

Stock Exchange ◽

Panel Data Analysis ◽

Sales Growth ◽

Research Model ◽

Result Show ◽

Manufacture Firm ◽

Operating Leverage

The purpose of this study is to know the effect of profitability, liquidity, sales growth, operating leverage and tangibility on capital structure: evidence from manufacture firm listed on Indonesia Stock Exchange in 2011-2014. The sample using in this study is 41 companies. The research model in this study employs panel data analysis (unbalanced panel) with fixed effect approach. The result show that profitability and liquidity have negative and significant effect on capital structure. Sales growth and operating leverage have positive but not significant effect on capital structure. Tangibility have negative and not significant effect on capital structure. Key words: Profitability, liquidity, sales growth, operating leverage, tangibility, capital structure, manufacture firm

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