TITLE:
Effect of Financial Structure on Financial Performance of Listed Industrial Goods Companies in Nigeria
AUTHORS:
Mustapha Muhammad Shehu
KEYWORDS:
Financial Structure, Long-Term Financing, Short-Term Financing, Financial Performance, Return on Asset (ROA)
JOURNAL NAME:
Open Access Library Journal,
Vol.12 No.4,
April
10,
2025
ABSTRACT: This study investigates the effect of financial structure on the financial performance of listed industrial goods companies in Nigeria. The study adopted a population of all 13 listed industrial goods companies on the Nigerian Exchange Group and employed ex post facto research design method covering the period of 2013 to 2023. Secondary sources of data were collected, which included financial reports of the 13 listed industrial goods companies. Data collected was analyzed using Panel Least Square regression. The findings revealed that all three financial indicators have a negative and statistically significant effect on financial performance. This accounts for R2 value of 0.78. It is then recommended that the management of industrial goods companies should first consider internal financing such as shareholder’s capital and retain profit before short-term debts (short term bank loans) and long-term debts.