تلخیص
Corporate governance is considered as environment of trust, set of processes, policies and laws
affecting the way corporations are administrated and directed. The previous literature in context of
the corporate governance relationship with firm financial performance shows controversial
findings; similarly literature shows lack of studies in context of developing countries as Pakistan.
Therefore, this research explores the relationship of the corporate governance and the firm
financial performance in context of developing country as Pakistan. The data has been collected
from the sugar sector listed in KSE (Pakistan Stock Exchange), 20 corporations are selected as
sample from sugar sector on basis of outstanding shares. Corporate governance taken as
independent variable and measured as CEO biformity (CB), board size (BS), firm age (FA), firm size
(FS). Financial performance of firms taken as dependent variable and measured as return on asset
(ROA), return on equity (ROE), net profit margin (NPM). Data is collected for period of 2000-2013
from reports of the sugar companies listed in KSE (Pakistan Stock Exchange) issued annually and
analysis of balance sheet given by State Bank of Pakistan (SBP). Result shows that CEO biformity
significantly affecting firm financial performance. Board size (BS) shows partially significant impact
on firm financial performance. Firms age (FA) show partially significant impact on firm financial
performance. Firm size (FS) shows partially significant impact on firm financial performance.
Therefore, conclusion has been drawn based on the results of analysis that this study adds new
knowledge to the existing body of knowledge of corporate governance impact on firm financial
performance and in context of developing countries as Pakistan.
Muhammad Wasim Jan Khan, Usman Saeed. (2019) Impact of corporate governance on financial performance of sugar sector firms listed in Pakistan stock exchange, Abasyn Journal of Social Sciences, Volume-12, Issue-2.
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