摘要：The elements determining the profitability of companies have warranted special attention over time. The levels of rising debt, increased concerns for liquidity and risks of bankruptcy have impacted the revenue of manufacturing sector companies in general and service sector companies in particular. In this study, an attempt has been made to study the financial health of companies belonging to Indian telecom industry. For this purpose, a balanced panel dataset of five Indian telecom companies listed on National Stock Exchange (NSE) has been used to examine the determinants of profitability over the period of 2004-2017. Profitability has been taken as an explained variable whereas size, leverage, liquidity, non-debt tax shield (NDTS), tangibility, growth opportunities and bankruptcy probability (Altman Z-score) have been considered as explanatory variables. The findings of the study reveal that the size and growth have a direct relationship with profitability, whereas the leverage has an inverse relationship. Tangibility, NDTS, liquidity and Z-score indicate insignificant impact on profitability.
