Capital Structure And Earnings Per Share: An Empirical Analysis Of Selected Companies Listed On The Nigerian Exchange Group

Focussing on the moderating influence of company size, this study analyses the implication of capital structure on earnings per share (EPS) for a subset of businesses listed on the Nigeria Exchange Group. The research examines data from fifteen publicly listed food and drink firms over a certain time frame using a random effects model. According to the results, some parts of the capital structure, like LDTA and EQTA, significantly boost earnings per share (EPS), while others, like TPTA, have the opposite effect. Including company size as a moderating variable significantly improves the model's explanatory power. The modified R-squared value goes up from 7.5% to 55.8%. Firm-specific features heavily influence capital structure decisions and their influence on financial viability. Firm size should be a major aspect in financing decisions, according to the report, since larger organisations are better able to optimise their capital structure to boost profitability. Corporate managers, lawmakers, and investors can benefit from the study's new findings, which add to the current literature by demonstrating how business size affects the correlation between capital structure and profitability