Empirical Study On The Influence Of The Capital Structure Of The Listed Commercial Banks On Profitability

Commercial bank is in an important position in the financial system[1], and its development is in relation with the stability of the national economy. The commercial bank profitability is the foundation of the sustainable development, also is the important embodiment of its core competitiveness. Currently accelerating interest rate marketization process in our country, the commercial bank debt structure and its cost, selection and combination of loans are affected; the profit pattern of traditional margin challenges, commercial Banks should find another odd path, seeking profit ability to promote space.Traditional theory and previous empirical studies concluded that capital structure is the important factors that affect commercial bank profitability[2].In terms of our country, along with the stricter regulatory capital and broadening capital supplement channels for commercial Banks, there is an important change has taken place in the capital structure of commercial Banks. From this research I want to know whether such changes made an impact on the profitability of commercial Banks, whether Commercial Banks can optimize the capital structure according to improve the management efficiency of funds, reducing the cost of capital, improving profitability has the important practical significance.This article includes five chapters: the first chapter is introduction, which introduced research background and significance, related literature review, research ideas and research methods of this article. The second chapter is in the definition on the basis of capital structure and profitability of commercial Banks summarized the related theory, and analyzed from both the direct and indirect effects on the profitability of capital structure in commercial Banks of mechanism. The third chapter respectively summarized the current situation of the listed commercial Banks in China, capital structure and profitability; laid the foundation of the empirical tests. The fourth chapter list four state-owned commercial Banks and share-holding commercial Banks as the research object, by using the model of a panel, all the sample Banks and state-owned commercial Banks, joint-stock commercial Banks conducted on the impact of capital structure on profitability empirically, the result shows: in general, the first big shareholder stake and its nature is negatively related to the total return on assets is not significant; the sum of the top five shareholders’ shareholding with total assets of yields a non-significantly positive correlation; asset-liability ratio and total assets yield is significant positive correlation; deposit accounts for the proportion of debt, and the ratio of core capital and subsidiary capital return on total assets is significant negative correlation. For state-owned Banks, the first big shareholder shareholding, the sum of the top five shareholders’ shareholding and deposit accounts for the proportion of debt to total assets yields are significant negative correlation; affiliated with the core capital ratio to total assets of yields is a significant positive correlation. For the joint-stock Banks, the first big shareholder’s stake, deposit accounts for the proportion of debt to total assets yields are significant negative correlation; the sum of the top five shareholders’ shareholding with total assets of yields is a significant positive correlation; the ratio of core capital and subsidiary capital is negative correlation between the return on total assets. The fifth chapter, according to the empirical conclusions from controlling asset-liability ratio, lower deposit accounts for the proportion of debt, optimizing the environment of the bank’s external governance of commercial Banks in China to optimize capital structure, proposes countermeasures and suggestions to improve profitability.