Evaluating Corporate Restructuring Outcomes: The Impact of Financial Ratios on Organizational Performance

Abstract

This study examines the impact of corporate restructuring on the financial performance of 50 publicly listed Indian companies that underwent significant restructuring between 2013 and 2023. Key financial ratios such as Return on Assets (ROA), Return on Equity (ROE), and Operating Margin were analyzed over a ten-year period, comparing pre- and post-restructuring performance. The study also includes sector-specific insights, revealing how restructuring outcomes vary across industries like manufacturing, telecommunications, and financial services. The results indicate improved operational efficiency post-restructuring, although shareholder returns, as measured by ROE, remain a challenge. This study offers valuable insights for managers seeking to optimize restructuring strategies.