Corporate Financial Distress Prediction of Non-Financial Firms: Evidence from Pakistan
Author: Faizan Mustafa

The purpose of this study is to examine the impact of different variables on the corporate financial distress prediction . For this purpose , the sample data of 60 non-financial firms listed in Pakistan stock exchange have been taken from the official website of State Bank of Pakistan. By applying the Discrete Hazard Model (logit Model), Profitability, Liquidity, Size have negative relation with financial distress prediction while leverage has positive. Moreover, dummy variable of exports, dividend payout have negative association with financial distress prediction as well. It can be interpreted as the firms which does exports and pay dividend to its shareholders have less chances to fall in financial distress. On the while dummy variable of global financial crisis has positive relation with financial distress which means that more companies likely to fall in distress in the period of crisis. As this area of research is highly ignored till date in developing countries specifically in Pakistan , this study will prominent its importance by giving look forward to this area. As it plays an important role on managerial decision making for firms, investment decision making for investors, credit decision making for creditors, customer credit ratings for banks and so on. Supervisor:- Dr. Jaleel Ahmed

Meta Data

Supervisor: Jaleel Ahmed Malik
Cosupervisor: Nadeem Ahmed Khan

Related Thesis​