A Study of Capital Structure of Pharmaceutical Industry

Authors

  • Patel Jigar Vinubhai  Associate Professor, Sigma Institute of Engineering (MBA Program), Sigma Institute of Engineering, Vadodara, Gujarat, India

Keywords:

Capital Structure, Finding, Suggestion, ICR, FAR, RONW, ROCE, NPM, DEQR, OPM, ECS

Abstract

The present research aimed at making a critical study of the capital structure of selected units in Gujarat. The study included various aspects related to the capital structure. The capital structure of selected pharmaceutical and engineering companies was analyzed with the help of ratios. The ratios like debt-equity, interest-coverage, and fixed assets were studied. The capital structure decision of a firm has its implication on the profitability of the firm. Thus the present study included the profitability study of the selected companies as well. Under the profitability analysis the operating profit margin, net profit margin, return on net worth ratio, return on capital employed ratio and the earnings per share were studied. A comparative study of the debt-equity ratio and the earnings per share of the selected pharmaceutical and engineering companies during 2005-06 to 2010-12 was also undertaken. Thus, the conclusions drawn can be helpful in enriching the prevailing pool of knowledge and can be helpful to the researcher, students, faculties of management, researchers, decision-making authorities, etc.

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Published

2017-08-30

Issue

Section

Research Articles

How to Cite

[1]
Patel Jigar Vinubhai, " A Study of Capital Structure of Pharmaceutical Industry, International Journal of Scientific Research in Science and Technology(IJSRST), Online ISSN : 2395-602X, Print ISSN : 2395-6011, Volume 3, Issue 6, pp.822-828, July-August-2017.