Impact of Corporate Social Responsibility on the Financial Performance of Automobile Industry in India

The present paper focuses on finding the real impact of CSR money spent by automobile companies on their financial performance. For this purpose three leading companies of automobile industry which have constantly working on CSR for past many years and have maintained amongst top 20 companies in various CSR indexes and sustainability indexes. For the present study five years data from year 2013 to 2017 have been collected. The study is exploratory in nature and quantitative secondary data has been collected for the study from their respective annual reports, websites and relevant research papers. For analysis correlation regression method has been used and CSR money spends taken as independent variable where as various financial indicators like: ROA, ROE, ROCE, ROI, NOI, EPS and PAT have been taken as dependent variables. The regression analysis was carried on each variable individually and each result was taken for conclusion. The study concluded that CSR has significant impact on ROA and PAT only but other than these, there was no significant impact of CSR. Consequently, the conclusion is drawn that overall CSR has no significant impact on the financial performance of the automobile companies.