Finance is regarded as the soul of business. It's the finance that makes the resources of production dynamic. Thus, capital management in any industrial organization must be adequate and proper. Steel Authority of India (SAIL) is a maharatna company of Indian public sector which is operating as one of the biggest steel producing units through the combined efforts of integrated steel plants, special steel plants and subsidiaries. This paper studies captital structure of the organization and its management through various financial ratios and statistical analysis of the financial data. The analysis brought out the fact that the financial position of SAIL is satisfactory. Karl Pearson correlation coefficient showed a high negative correlation of net profit after interest and tax and also of net profit before tax with other financial items and a high positive correlation among other financial items. This proved that profit is a dependent variable which depends on how favourable other financial items are.