• Alak Kumar Das
• Dr.SatyajitDhar

[Abstract: Efficient working capital management is an essential instrument to realise continuous profit which has direct effect on the value of the firm. Better management of liquidity helps the firm to attain its objectives. The objective of any firm or industry is to generate high profit margin. Management of liquidity vary industry to industry due to requirement of raw material, labour force, purchase and sale policy, credit collection policy etc. The traditional rule indicates that liquidity and profitability are inversely related. This study tries to provide the empirical evidence regarding the relationship of working capital management and profitability. For this purpose, we have taken 43 Indian textile sectors listed in Bombay Stock Exchange as sample. Standalone secondary data are collected for 12 years from 2005-06 to 2016-17 using Prowess database. Panel data regression and ratio analysis have been used to make the study. It was found that performance of Indian textile industry is influenced by financial liquidity.]

Working capital management, Profitability, Factors of working capital management

"Liquidity Management and Corporate Profitability: A Study on Indian Textile Industry", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.5, Issue 3, page no.652-658, March-2018, Available :http://www.jetir.org/papers/JETIR1803117.pdf

"Liquidity Management and Corporate Profitability: A Study on Indian Textile Industry", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.5, Issue 3, page no. pp652-658, March-2018, Available at : http://www.jetir.org/papers/JETIR1803117.pdf