أثر الرافعة المالية على ربحية الشركات الصناعية الأردنية المدرجة في بورصة عمان

Abstract

The objective of this study was to evaluate how financial leverage affects the profitability of companies that are listed on the Amman Stock Exchange. The study followedanapproach and included all 56 public shareholding companies, in Jordan that were listed on the Amman Stock Exchange from 2015 to 2019. Out of these, data from 52 companies with information was analyzed. Statistical analysis was conducted using the SPSS program. The findings indicated that there is a correlation between leverage, measured by the ratio of total liabilities to total assets, and the profitability of these Jordanian industrial companies as measured by return on assets. Additionally, there is an inverse relationship between leverage measured by the ratio of liabilities to long-term debts, and equity and profitability as measured by return on equity. Based on the results it is recommended that Jordanian industrial companies regularly disclose any changes in their assets and provide explanations, for changes whether they are increases or decreases.