Malnutrition is very common in liver disease patients. The nutrition status of chronic hepatitis C infected patients was assessed in those with both compensated and decompensated liver disease. A prospective non-interventional observational study was conducted in a tertiary care hospital among patients attending the liver clinic under medicine Outpatient Department (OPD), with follow-up till six months since recruitment. A total number of 100 recruited eligible patients was divided into two groups of 50 patients each, one comprised of subjects with decompensated liver disease and the other one with compensated liver disease. Out of the 100 participants, 85% were males, with the majority of them being aged between 41 and 50 years, and underweight. At every visit, low mean values in triceps thickness and mid-arm circumference were observed among patients with decompensated liver disease compared to those with compensated liver disease, which had a significant difference statistically. The clinical symptoms and severe malnutrition were found to be higher and significantly statistically associated with the decompensated liver disease patients.