The effects of capital structure decision and firm profitability: evidence from sukuk issuance companies in Bursa Malaysia stock exchange / Mohd Syafiq Mohd Noor

This study aims generally to see how the capital structure affecting profitability of the firms that issuing sukuk. Thus, this study examines the relationship between short-term debt and long-term debt on the firms' profitability, which is measured by using return on asset (ROA). The other independent variable that supported in this study is firm size, firm growth and interest coverage. This study obtains yearly data of 43 public listed companies in Malaysia that are issuing sukuk from 2013 to 2017. Based on the Pearson correlation and ordinary least square (OLS) methods used, the results of this study show that long-term debt, short-term debt, firm size, firm growth and interest coverage have significant relationships with the firms' profitability of the selected public listed companies.