Factors affecting the capital structure of listed Chinese media companies

2021 ◽  
Author(s):  
Danhong Zhu ◽  
Zitong Qiu ◽  
Junwei Wang
Keyword(s):  
Capital Structure ◽  
Chinese Media ◽  
Factors Affecting ◽  
Media Companies ◽  
The Capital Structure

Determinants of capital structure of banks: evidence from the Kingdom of Saudi Arabia

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shoaib Khan ◽  
Usman Bashir ◽  
Md. Saiful Islam
Keyword(s):  
Saudi Arabia ◽  
Capital Structure ◽  
Commercial Banks ◽  
Kingdom Of Saudi Arabia ◽  
Content Type ◽  
Factors Affecting ◽  
Earnings Volatility ◽  
Explanatory Variables ◽  
Practical Implications ◽  
The Capital Structure

Purpose The purpose of this study is to investigate the most important factors that affect the capital structure of commercial banks in the Kingdom of Saudi Arabia. Design/methodology/approach This study uses annual data of 11 Saudi commercial, national banks listed on the tadawul Saudi stock exchange for the period 2010–2017. Data was collected from the banks financial statements, tadawul annual publications and Saudi Arabian Monetary Authority. By constructing a balanced panel, this study uses pooled ordinary least squares regression along with fixed effects and random effects to examine the relationship between the bank’s book leverage as the dependent variable and bank-specific explanatory variables that include profitability, tangibility, earnings volatility, growth opportunities and bank size, while controlling for macroeconomic conditions. Findings The findings of this study suggest that banks in Saudi Arabia are highly leveraged, endorsing the fact that the nature of banks’ business is different from non-banking firms. Earnings volatility, growth and bank size show positive and significant relations with book leverage. Profitability and tangibility are negatively related to the book leverage. Empirically, the explanatory variables profitability, earnings volatility, tangibility, growth and bank size have material effects on the capital structure decisions of Saudi commercial banks. In summary, the determinants of capital structure for Saudi banks are the same as those of non-financial firms but are distinctive in nature. Research limitations/implications An extensive study on all the banks operating in Gulf Cooperation Council (GCC) countries is suggested. Practical implications The findings have practical implications for bank managers, which will help them to identify the bank-specific factors affecting the capital structure and choose the values enhancing optimal capital structure. The results of this study can assist regulatory agencies to formulate an effective regulatory framework. Moreover, the findings lay a foundation for the development of financial sector under the umbrella of the Vision 2030 program in the Kingdom. Originality/value To the best of the authors’ knowledge, this is the first study to explore the factors affecting the capital structure choices of commercial banks operating in the Kingdom of Saudi Arabia. Moreover, the findings of the study would prove useful in detailed studies of capital structure in the GCC countries as well.

scholarly journals Determining the Factors Affecting Capital Structure Decisions of Real Sector Companies Operating in ISE

2017 ◽  
Vol 9 (8) ◽  
pp. 25 ◽  
Author(s):  
Bengü Vuran ◽  
Nihat Tas ◽  
Burcu Adiloglu
Keyword(s):  
Capital Structure ◽  
Firm Growth ◽  
Positive Impact ◽  
Stock Exchange ◽  
Negative Relationship ◽  
Order Theory ◽  
Service Firms ◽  
Factors Affecting ◽  
Tax Shield ◽  
The Capital Structure

Corporate capital structure remains a controversial issue in modern corporate finance. Since the seminal work by Modigliani and Miller (1958), a plethora of research has been undertaken in attempting to identify the determinants of capital structure. This paper analyzes the capital structure determinants of manufacturing, merchandising and service firms operating in Istanbul Stock Exchange (ISE) during the period from 2010 to 2013 comprising of 218 companies. This study addresses the following questions: Are the capital structure determinants of three types of firms in ISE driven by different factors? To answer this question, panel data methodology is applied to the sample of firms for the period from 2010 to 2013. The results show that the manufacturing and merchandising firms exhibit similarities in their capital structure choices. For those firms, size and firm growth are positively related to leverage, whereas profitability have a negative relationship with their debt to assets ratio. For service firms, size and non-debt tax shield have significant positive impact on leverage but profitability negatively related to leverage. These findings provide evidence in favour of trade off theory and pecking order theory.

scholarly journals Capital structure determinants of hospitality sector SMEs

2016 ◽  
Vol 23 (1) ◽  
pp. 113-132 ◽  
Author(s):  
Luís Pacheco ◽  
Fernando Tavares
Keyword(s):  
Capital Structure ◽  
Small And Medium Enterprises ◽  
Order Theory ◽  
Pecking Order ◽  
Pecking Order Theory ◽  
Trade Off ◽  
Factors Affecting ◽  
Portuguese Economy ◽  
Hospitality Sector ◽  
The Capital Structure

The main objective of this article is to study the capital structure determinants of small and medium enterprises (SMEs) in the hospitality sector and how this can influence their level of indebtedness. Using panel data methodology and considering a sample of 43 Portuguese hotels, the authors study the capital structure determinants between 2004 and 2013. The study examines the indebtedness level in light of the two main theories – the Trade-off theory and the Pecking Order theory. The hospitality sector was chosen because of its importance in the Portuguese economy and because this particular sector has hardly been studied. In addition to total indebtedness, the authors extend the literature by analysing the differences between short-term and long-term indebtedness. The results obtained suggest that profitability, assets tangibility, firm dimension, total liquidity and risk are key factors affecting the capital structure of hospitality sector SMEs, while growth, other tax benefits and age were not deemed relevant. These results allow us to conclude that Trade-off and Pecking Order theories should not be considered in isolation to explain the capital structure of hospitality sector SMEs.

scholarly journals THE ANALYSIS OF FACTORS AFFECTING THE CAPITAL STRUCTURE ON LISTED MINING COMPANIES IN INDONESIA STOCK EXCHANGE

JEMBATAN ◽  
2018 ◽  
Vol 15 (1) ◽  
pp. 49-60
Author(s):  
Charaka M Nandatama ◽  
Sulastri Sulastri ◽  
Taufik Taufik
Keyword(s):  
Capital Structure ◽  
Stock Exchange ◽  
Linear Regression Analysis ◽  
Sampling Technique ◽  
Multiple Linear Regression Analysis ◽  
Sales Growth ◽  
Factors Affecting ◽  
Mining Companies ◽  
Research Population ◽  
The Capital Structure

The objectives of this research are to examine the effect of Assets Growth,Likuidity, Assets Structure, and Sales Growth influence simoultaneously and partiallyon Capital Structure. Research conducted at mining companies that listed on IndonesiaStock Exchange period 2012- 2015. The research population was 41 companies, with thesample of 14 companies with sampling using purposive sampling technique. Theanalytical method used is multiple linear regression analysis, which previously testedwith the classical assumption.The result showed that the Assets Growth, Likuidity, Assets Structure and SalesGrowth influence simultaneous on the Capital Structure. The research also revealedthat, Assets Growth, Likuidity, Assets Structure and Sales Growth influence partiallynegative significant on the Capital Strucuture. On the other hand, R-Square valueamnounted at 32.6%, its mean that 32,6% movement of Capital Structure can bepredicted from the movement of the four independent variables.Keywords : capital structure, assets growth, likuidity, assets structure, sales growth

scholarly journals Analysis of Factors Affecting Capital Structures in Companies Listed in Indonesia Stock Exchange Period 2010-2014

2021 ◽  
Vol 9 (2) ◽  
pp. 135-142
Author(s):  
Eva Hardianti
Keyword(s):  
Capital Structure ◽  
Sampling Method ◽  
Stock Exchange ◽  
Sample Selection ◽  
Secondary Data ◽  
Coefficient Of Determination ◽  
Company Size ◽  
Sales Growth ◽  
Factors Affecting ◽  
The Capital Structure

This research aims to analyze the factors that affect the capital structure of companies listed on the Indonesia Stock Exchange in the period 2010-2014. The variables studied were profitability, sales growth, asset structure and company size. This research is a comparative causal study. The data used is secondary data obtained from the site www.idx.co.id.The population in this study are all companies listed on the Indonesia Stock Exchange in the period 2010-2014. The sample selection is done by using purposive sampling method, so that as much as 1089 observational data are obtained. Analysis of the data used is multiple regression analysis. The results of this study indicate that the variable profitability, asset structure and firm size significantly influence the capital structure. The magnitude of the coefficient of determination (Adjusted R Square) is equal to 0.104. This means that 10.4% of the dependent variable that is capital structure can be explained by four independent variables namely profitability, sales growth, asset structure and company size. While the remaining 89.6% is explained by variables or other causes outside the model.

scholarly journals Building an optimal capital structure of start‑ups

2017 ◽  
Vol 48 (3) ◽  
Author(s):  
Monika Burżacka
Keyword(s):  
Capital Structure ◽  
Financial Management ◽  
Financial Structure ◽  
Financing Structure ◽  
Factors Affecting ◽  
Optimal Capital Structure ◽  
Particular Solution ◽  
Optimal Capital ◽  
Start Ups ◽  
The Capital Structure

Effective financial management and optimal capital structure are important for companies to obtain better operational performance. The purpose of this study is the review of the most important theories in terms of optimal financial structure and to explore the most important factors affecting decisions in that area. A bad decision about the capital structure may lead to financial lack of balance and even to bankruptcy. There are many alternative theories on how to build optimal capital structures, which, as indicated by practice, may occur to be insufficient. There is no significant studies that clearly indicate the determinants of a particular solution in the financial structure of companies, especially those referred to as startup companies, mainly because of specifics of that group of companies. It is not possible to indicate which of the leading approaches to the capital structure more fully describes the decisions of start‑ups as to the financing structure. Nevertheless, the results indicate that managers of companies often include similar decisions competitors and modulate the policy of his company within the capital structure for a particular, market standard, which is confirmed by Abdulsaleh and Worthington.

scholarly journals FAKTOR-FAKTOR YANG MEMPENGARUHI STRUKTUR MODAL PERUSAHAAN MANUFAKTUR DI BURSA EFEK INDONESIA

2016 ◽  
Vol 1 (2) ◽  
Author(s):  
Antoni Anton Toni
Keyword(s):  
Capital Structure ◽  
Stock Exchange ◽  
Linear Regression Analysis ◽  
Multiple Linear Regression Analysis ◽  
Factors Affecting ◽  
Sample Data ◽  
Negative Effect ◽  
Asset Growth ◽  
The Capital Structure

<pre><strong><em>Abstract</em></strong></pre><p><em>The purpose of this research is to determine the factors affecting the capital structure of the company manufacturing them are effects aspect of liquidity, profitability and growth of the company, the size of the assets listed on the Indonesia stock exchange in the period 2010-2014. Methods of analysis used was multiple linear regression analysis of the denganjumlah sample data 90. The results showed, liquidity (CR) negative effect on capital structure, profitability (ROA) and significant negative effect against the capital structure of the company, the size of the enterprise and a significant positive effect on the company's capital structure of the company, and the growth of assets does not significantly affect the company's capital structure. The implications of the research can be concluded that the decrease in the capital structure of the company can be affected by the liquidity and profitability of companies. Further consideration should be long term investors in selecting the Issuers to invest, so the investment risk can be reduced and investment gains will accrue more maximum</em></p><pre><strong><em> </em></strong></pre><pre><em>Keywords: Capital Structure, aspects of liquidity, profitability, firm size and asset growth</em></pre><p><strong><em> </em></strong></p><p><strong><em>Abstrak</em></strong></p><p><em>Tujuan dari penelitian ini adalah untuk menentukan factor-faktor yang mempengaruhi struktur modal perusahaan manufaktur diantaranya efek aspek likuiditas, profitabilitas, ukuran perusahaan dan pertumbuhan aset yang terdaftar di Bursa saham Indonesia dalam periode 2010-2014. Metode analisis yang digunakan adalah analisis regresi linier berganda denganjumlah data sampel 90. Hasil penelitian menunjukkan, likuiditas (CR) efek negatif pada struktur permodalan, profitabilitas (ROA) dan efek negatif signifikan terhadap struktur modal perusahaan, ukuran perusahaan dan efek positif yang signifikan pada struktur modal perusahaan perusahaan, dan pertumbuhan aset tidak signifikan mempengaruhi struktur permodalan perusahaan. Implikasi penelitian dapat disimpulkan bahwa penurunan struktur permodalan perusahaan dapat dipengaruhi oleh likuiditas dan profitabilitas perusahaan perusahaan. Selanjutnya investor harus pertimbangan jangka panjang dalam memilih Emiten untuk berinvestasi, sehingga risiko investasi dapat dikurangi dan keuntungan investasi akan diperoleh lebih maksimal.</em></p><p><em><br />Kata kunci: Struktur Modal, aspek likuiditas, profitabilitas, ukuran perusahaan dan pertumbuhan aset</em></p>

Sign in / Sign up

Export Citation Format

Share Document