Impact of Capital Structure on Firm’s Profitability with Reference to Companies Listed on MSM (Muscat Securities Market)



   Volume 1, Issue 1
CHINTHA SAM SUNDAR, FATMA NASSER SAID AL HARTHI

Published online: 21 June 2015
Article Views: 21

Abstract

Capital structure is known as one of the most complicated parts of corporate finance. A firm’s capital structure consists of a mixture of debt and equity used to finance the company’s assets and projects. The capital structure of a company is impacting profitability of a company. This is analyzed in this research document concerning ten selected companies from the Muscat Securities Market (MSM). This analysis is done by analyzing the financial statements of these companies for the latest five years. To support this analysis, other secondary data are also used in the testing processes. As a result, this study states that there is no significant impact on the profitability of the companies through the changes in the capital structure of the companies, while the study has identified few other elements with significant impact.

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To Cite this article

Sundar, C. S., & Al Harthi, F. N. S. (2015). Impact of capital structure on firm’s profitability with reference to companies listed on MSM (Muscat Securities Market). International Journal of Business and Administrative Studies, 1(1 ), 23-28.