Published Paper Details:

This research undertakes a rigorous examination of the capital structure employed by Indian pharmaceutical companies, unraveling the intricate financial architectures that underpin their operations. Capital structure, a fundamental component of financial management, plays a pivotal role in shaping a company's financial health and strategic decision-making. This study focuses on assessing the capital structure choices of Indian pharmaceutical firms, delving into the factors influencing these decisions and their implications on corporate performance. The research employs a multi-faceted approach, combining quantitative analysis of financial statements, industry benchmarks, and qualitative insights from key industry stakeholders. Initial emphasis is placed on understanding the prevailing capital structure norms within the pharmaceutical sector, considering the unique dynamics of the industry, regulatory frameworks, and market conditions. A critical analysis of the determinants of capital structure decisions ensues, exploring the impact of factors such as company size, profitability, growth prospects, and risk profiles. Additionally, the study investigates the role of external financing sources, including debt and equity, and their relative weights in the capital structure mix. Comparative analyses against global pharmaceutical industry standards and best practices provide a broader context for evaluation. Furthermore, the research assesses the implications of capital structure choices on financial performance, risk management, and shareholder value. Specific attention is given to the trade-off between debt and equity financing, examining how these choices align with the strategic goals of the companies under consideration.