The impact of the efficiency of financial leverage management and its impact on maximizing the company’s value. An applied study in Asia Cell Communications Company for the period 2013-2022

Abstract

The research aims to identify the extent of the company’s reliance on financial leverage and its impact on its value. The research attempted to frame the theoretical side to provide adequate answers to the variables of the practical side. The research identified Asiacell Communications Company as its community. A model was used for the research that explains the nature of the influence relationships of financial leverage. In value, as the financial statements of Asiacell Company published on the Iraq Stock Exchange website were obtained for the period from 2013 to 2022, and based on them, the hypotheses for the research were formulated as well as subjecting them to statistical tests based on the statistical program (EViews 12), as the research reached the following conclusions: A set of conclusions indicate that there is a direct influence relationship between the degree of financial leverage and the value of Asiacell Telecommunications Company, and an inverse relationship between it and the risk of financial leverage, which is represented by (earnings per share, market value of the share, book value of the share, tax savings, and risk of financial leverage), according to which The research presented a set of proposals, the most important of which is urging the company's management to expand using financial leverage in times of economic prosperity and to reduce reliance on it in times of economic recession because of its multiplier effect in maximizing or risking its value