Abstract:
This research studied the impact/relationship of a firm’s capital structure on a firm’s financial performance. The research is conducted on the date of oil and gas sector of Pakistan. It includes Oil refinery companies, oil & gas marketing companies, and oil & gas exploration companies. There are 12 companies which have been researched and all these firms are listed on the Karachi stock exchange. The data used for this research is from 2008-2012. The variables used in this research are debt to equity ratio (leverage), earnings before interest and tax, return on equity, return on assets, earnings per share ratio, price to earnings ratio, and net profit margin.