How Corporate Governance Influence on Firms Performance: An Evidence of Oil and Gas Sector Listed in KSE-100

Abstract

The purpose of this paper to examines the impact of corporate governance on firm’s performance for listed companies of KSE regarding Oil and Gas Sector. In this paper we analyzed the corporate governance such as board size, board independence and block holders on firm performance (ROE, ROA, Tobin’s Q, Firm Size, leverage, growth and dividend per share). It covers the study for the period of 2010-2014 with 09 listed companies of Oil and Gas in KSE using linear regression analysis. The empirical findings shows a ROA, ROE, FS and DPR are significant effect with corporate governance and also positive association between board size and firm’s performance. The research has been limited to some selected oil and gas sector companies focus on the comparison of corporate governance 2002 and 2012. This paper suggests the reforms of corporate governance in Pakistan companies or firms especially in board independence and block holders should be promoted to the other sectors.

Keywords: Corporate Governance, Oil and Gas Sectors, Karachi Stock Exchange