Published Paper Details:

Capital structure refers to the financing decision of a firm which involves the choice of the right mix of different sources of financing namely owner�s funds and lenders funds. The word profitability involves �Profit� and �Ability�. In profitability point of view profit means return from the investment. The word ability means capacity of a concern to earn or perform well. The main objective of every concern is to get a satisfactory return from the invested funds in order to maintain a sound financial position. External borrowing to improve or expand the business increases the debt situation of companies that can adversely affect the capital structure of the firms also influence the profitability positions. This play a strong emphasis in identifying the present situation to understand how far the capital structures and profitability performed during actual and projected periods of the select steel companies in India. Therefore, the objective is to analyze the capital structures based leverage and profitability based on actual and projected period. A total of 10 companies were identified during the initial period in which 5 companies were randomly selected considering the volume of business (sales and total asset). Impact of Capital Structures on profitability of select steel companies in India during 2009-10 to 2018-2019 are considered for analysis. Trend projection is used as statistical tool for Analysis. Except Tata Steel the companies have raised their long term debts by borrowing money which carries interest on its capital whereas, Tata steel have reduced its borrowings which is a good sign of managing debt on of its own finances. Net profit of most of the steel companies namely, Jindal Steel, SAIL and Steel Exchange recorded negative during actual and projected periods. JSW and Tata Steel are the two companies making profit during the actual and projected periods policy makers in the select steel manufacturing companies shall direct improved management tactics that can be identified from the results of the study as well as from the actual financial statements and forecasted result shall definitely support to increase companies returns leading towards future growth.