Hierarchical performance is heavily influenced by capital structure. In an agricultural country like India, micro-finance is seen as a useful tool for financial upliftment. Microfinance may play an important role in providing financial kinds of support to poor and low-income individuals in a country like India, where 70 percent of the population resides nearby and 60 percent relies on agriculture (according to World Bank statistics). Microfinance has emerged as a viable option for reaching out to the previously unreachable in order to improve their social and economic conditions via social and financial intermediation. Microfinance Institutions are organizations that provide impoverished people with microfinance services such as loans, savings, insurance, and settlement (MFIs). Microfinance companies are often seen as agents of social change, and their success is typically judged by non-financial criteria. Working costs by loan portfolio, normal compensation by GNI per capita, and loans per staff person have all shown improved competence and efficiency in Indian MFIs. Asset sources for microfinance institutions (MFIs), as well as their performance and financial manageability, have become a major topic for MFIs and poverty alleviation efforts to achieve the UN's long-term development goals. Indian MFIs have a superior ROE and OSS than other MFIs in terms of overall financial performance. Although Indian MFIs showed greater financial revenue from resources, a higher return on net portfolio (ostensibly), and lower operating expenses from resources, they were unable to pay all costs and financial costs. The goal of the study is to look at the financial performance of MFIs in India.

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Keywords: Financial Performance, Microfinance, MFIs, Capital Structure, Financial Sustainability.