Influence of Capital structure on Firm Performance: Empirical Evidence from Indian Manufacturing Industry

The study is an attempt to examine empirically the impact of capital structure on firm performance using a data sample 56 Indian manufacturing firms listed Bombay Stock Exchange, National Exchange or both during 2010-2022. uses three financial measures namely return assets, employed and earnings per share as dependent variables. eight such long-term debt, short-term interest coverage ratio, current growth, tangibility, non debt tax shield size are used independent divided into sectors including steel, cement automobile. correlation analysis multiple regression in estimate performance. empirical result shows that has negative relationship with short long term most studied sectors. In automotive sector, positively related employed. Liquidity negatively industries. Non-debt measured by industries, respectively, while ratio correlated industry.