Business Performance Index and Capital Expenditure Decisions Among Conglomerates Operating in Nigeria

This study was embarked upon to assess how businesses performed with respect to their Capital Expenditure decisions. It concentrated on five (5) randomly selected conglomerates operating in the Nigerian emerging market. Capital expenditure are expenditures made to acquire long-term assets while business performance index were represented by operating cash flow, debt/equity ratio, as well as turnover growth. In order to assess these performances, data were derived from published financial statements of the companies and analysed using multiple regression to get the R, t-test and f-statistic which were used to test the hypotheses. The results showed that none of the variables had positive correlation with capital expenditure of the companies studied on during the years (2016 to 2025) It was recommended that Management should therefore conduct a detailed analysis to understand why this is not so in these companies. They should focus on investments in technology, automation, and process improvements that drive productivity and cost savings as well as identify non-core assets or cost centres that can be divested to free up their capital. There is need to increase spending on research and development (R&D), expansion projects, and employee up-skilling to drive sustainable growth as well as explore strategic partnerships, acquisitions, or market expansion to deploy excess cash effectively.