CALL FOR PAPERS

CERTIFICATE

IMPACT FACTOR 2019

Subject Area

  • Life Sciences / Biology
  • Architecture / Building Management
  • Asian Studies
  • Business & Management
  • Chemistry
  • Computer Science
  • Economics & Finance
  • Engineering / Acoustics
  • Environmental Science
  • Agricultural Sciences
  • Pharmaceutical Sciences
  • General Sciences
  • Materials Science
  • Mathematics
  • Medicine
  • Nanotechnology & Nanoscience
  • Nonlinear Science
  • Chaos & Dynamical Systems
  • Physics
  • Social Sciences & Humanities

Why Us? >>

  • Open Access
  • Peer Reviewed
  • Rapid Publication
  • Life time hosting
  • Free promotion service
  • Free indexing service
  • More citations
  • Search engine friendly

Plagiarism Detection

IJCR is following an instant policy on rejection those received papers with plagiarism rate of more than 20%. So, All of authors and contributors must check their papers before submission to making assurance of following our anti-plagiarism policies.

 

 

 

 

 

 

 

 

 

 

 

 

Effect of financial leverage on financial performance of sugar firms in western kenya

Author: 
Robby Tabitha Akinyi
Subject Area: 
Social Sciences and Humanities
Abstract: 

Kenya Sugar sub-sector accounts for 7.5% of the National GDP and 15% of the Agricultural GDP. These firms have been experiencing poor financial performance with an average after tax profit of -24% for the period 2010-2018. Some of these firms have faced frequent closures with a case of Miwani sugar firm being put under receivership back in the year 2000. However, a section of these firms have been thriving. The inconsistency in these sugar firm’s financial performance points out to the contribution of financial leverage as presumed by the trade-off and the theories of ROA and ROE. The purpose of this study was to determine financial leverage and financial performance relationship in sugar firms in Western Kenya. The study was anchored on the trade-off theory and the theories of ROA and ROE. The study used correlation research design. The target population was 8 sugar firms found in Western Kenya that were in operation during the study period. The firms were pooled for10 years resulting to 80 data points. The result show that financial leverage is a significant negative predictor of financial performance with (R2 =.1290, p=.0001) (coeff= -.0765) implying that12.9% of the variance in financial performance of sugar firms in Western Kenya was explained by financial leverage. The negative coefficient revealed that for every one unit increase in financial leverage, there was an ensuing drop in financial performance of these firms by 0.0765, an implication that most of the Kenyan sugar firm had incorporated borrowed funds in their financial structure beyond the optimal levels. The study concludes that financial leverage had a statistically significant negative effect on financial performance. The study recommends that sugar firms should reduce their leverage levels to optimal levels to enhance their financial performance. The findings are deemed to be of use to academia as a basis for further research in finance.

PDF file: 

IJMCE RECOMMENDATION

ONLINE PAYPAL PAYMENT

CURRENT ISSUE

NEWS

CHIEF EDITOR
Rosane Cavalcante Fragoso, Brasil
ASSOCIATE CHIEF EDITOR

   

Jean-Marc SABATIER
Chief Scientific Officer and Head of a Research Group
France

Advantages of IJCR

  • Rapid Publishing
  • Professional publishing practices
  • Indexing in leading database
  • High level of citation
  • High Qualitiy reader base
  • High level author suport

 

 

 

 

 

 

 

 

 

 

 

EDITORIAL BOARD

Luai Farhan Zghair
Iraq
Hasan Ali Abed Al-Zu’bi
Jordanian
Fredrick OJIJA
Tanzanian
Firuza M. Tursunkhodjaeva
Uzbekistan
Faraz Ahmed Farooqi
Saudi Arabia
Eric Randy Reyes Politud
Philippines
Elsadig Gasoom FadelAlla Elbashir
Sudan
Eapen, Asha Sarah
United State
Dr.Arun Kumar A
India
Dr. Zafar Iqbal
Pakistan
Dr. SHAHERA S.PATEL
India
Dr. Ruchika Khanna
India
Dr. Recep TAS
Turkey
Dr. Rasha Ali Eldeeb
Egypt
Dr. Pralhad Kanhaiyalal Rahangdale
India
DR. PATRICK D. CERNA
Philippines
Dr. Nicolas Padilla- Raygoza
Mexico
Dr. Mustafa Y. G. Younis
Libiya
Dr. Muhammad shoaib Ahmedani
Saudi Arabia
DR. MUHAMMAD ISMAIL MOHMAND
United State
DR. MAHESH SHIVAJI CHAVAN
India
DR. M. ARUNA
India
Dr. Lim Gee Nee
Malaysia
Dr. Jatinder Pal Singh Chawla
India
DR. IRAM BOKHARI
Pakistan
Dr. FARHAT NAZ RAHMAN
Pakistan
Dr. Devendra kumar Gupta
India
Dr. ASHWANI KUMAR DUBEY
India
Dr. Ali Seidi
Iran
Dr. Achmad Choerudin
Indonesia
Dr Ashok Kumar Verma
India
Thi Mong Diep NGUYEN
France
Dr. Muhammad Akram
Pakistan
Dr. Imran Azad
Oman
Dr. Meenakshi Malik
India
Aseel Hadi Hamzah
Iraq
Anam Bhatti
Malaysia
Md. Amir Hossain
Bangladesh
Ahmet İPEKÇİ
Turkey
Mirzadi Gohari
Iran