Analysis of leverage and its impact on profitability-A study on tata steel limited.

The main objectives of this study are to analyse and understand the impact of leverage on profitability of Tata Steel Limited. This paper focuses on leverage and its relationship with profitability in Tata Steel Limited. In this present research paper, an attempt has been made to analyse the relationship among (financial leverage, operating leverage and Composite leverage) with earning per share of the company. In addition to this it investigates how the profitability is influenced by fixed financial charges and fixed operating cost. The exploratory research design is adopted in this study which employs secondary data. The financial statements of Tata Steel Limited have been collected over a period of 5 years (2009–10 to2013-14). The data collected is analyzed by the percentages, averages, ratios, Correlation analysis and student's t test.