The DOI matches its Crossref record; 12 of the 14 references it cites were found in a registry or an index.
Impact of Financial Leverage on Firm Performance: Textile Composite Companies of Pakistan
Open accessAbstract
The aim of this research is to identify the relationship between financial leverage and the performance of Textile Composite Companies of Pakistan. Pakistan Textile Composite Companies which are listed in PSX (100-index) are selected.5-year data is collected from 2011-2015 and top 16 companies are selected as a sample. Using descriptive statistics, correlation analysis, and a regression model to identify the results. Results show that financial leverage has a negative and significant effect on firm ROE and financial leverage has a positive and significant effect on firm ROA. Further study indicates that the high-interest rate and more amount of debt decrease the value of equity and has a negative impact on firm performance. On the other hand, the amount of debt has a positive impact on firm ROA. Results show that financial leverage has a positive impact on firm performance if the amount of debts do not exceed the amount of equity.
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Impact of Financial Leverage on Pakistani Firms
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Arhinful, R., & Radmehr, M. (2023) · Sage Open · doi:10.1177/21582440231204099 · Cited by 99
Yemelyanov, O. Y., Petrushka, T. O., Symak, A. V., Trevoho, O., Турило, А. А., Kurylо, O., Danchak, L., Symak, D., & Lesyk, L. (2020) · Sustainability · doi:10.3390/su12156184 · Cited by 97
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A credit scoring model for SMEs using AHP and TOPSIS
Roy, P. K., & Shaw, K. (2021) · International Journal of Finance & Economics · doi:10.1002/ijfe.2425 · Cited by 76
Arhinful, R., Amin, H. I. M., Mensah, L., Gyamfi, B. A., & Obeng, H. A. (2025) · Cogent Economics & Finance · doi:10.1080/23322039.2025.2571401 · Cited by 39
Metadata
- Authors
- Iqbal, U., & Usman, M.
- Affiliations
- University of Gujrat (PK)
- Corresponding author
- Iqbal, Umer
- ORCID
- Usman, Muhammad
- Venue
- SEISENSE Journal of Management
- Publisher
- SEISENSE
- Published
- 2018-05-05
- Volume
- 1
- Issue
- 2
- Pages
- 70-78
- ISSN
- 2617-5770 (ISSN-L)
- OpenAlex
- W3018581824
- Cited by
- 43
- References
- 14
- Citations by year
- 2026: 3 · 2025: 8 · 2024: 3 · 2023: 11 · 2022: 5 · 2021: 6 · 2020: 7
- FWCI
- 9.56
- Type
- journal article
- Language
- en
- Open access
- diamond
- doi.org
- Locations
- SEISENSE Journal of Management (publishedVersion, cc-by)
- DOAJ (DOAJ: Directory of Open Access Journals) (submittedVersion)
- jom (SEISENSE) (submittedVersion, cc-by)
- Greater South Information System
- Topics
- Social Sciences › Economics, Econometrics and Finance › Finance › Corporate Finance and Governance
- Social Sciences › Business, Management and Accounting › Accounting › Financial Analysis and Corporate Governance
- Social Sciences › Business, Management and Accounting › Accounting › Working Capital and Financial Performance
- Keywords
- leverage, firm performance, textile industry, return on equity, return on assets, debt to equity ratio, interest rates, equity value, debt financing
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- Iqbal, U., & Usman, M. (2018). Impact of Financial Leverage on Firm Performance: Textile Composite Companies of Pakistan. SEISENSE Journal of Management. https://doi.org/10.33215/sjom.v1i2.13
