Formosa Journal of Applied Sciences (FJAS)
Vol. 2 No. 1 (2023): January, 2023

The Effect of Profitability and Company Size on Firm Value with Capital Structure as a Moderating Variable (Empirical Study of the Industrial Sector Listed on the IDX for the 2019-2021 Period)

Via Nurul Izzah (Universitas Muhammadiyah Purwokerto)
Ira Hapsari (Universitas Muhammadiyah Purwokerto)
Novi Dirgantari (Universitas Muhammadiyah Purwokerto)
Annisa Ilma Hartikasari (Universitas Muhammadiyah Purwokerto)



Article Info

Publish Date
31 Jan 2023

Abstract

The value of industrial sector companies continued to decline in the 2019-2021 period, which indicates that company performance in the industrial sector is still not good. Companies need to pay attention to what factors have an impact on the value of the company so that they can always increase the performance and value of the company. This study aims to empirically examine the influence of Profitability and Firm Size on Firm Value with Capital Structure as moderator. The population of this study is 56 industrial sector companies listed on the IDX for the 2019-2021 period with 44 sample data. Sampling was taken using purposive sampling method, and data analysis was using Moderated Regression Analysis (MRA) using the SPSS program. The results of this study prove that profitability has a positive impact on firm value, firm size does not affect firm value, capital structure cannot moderate the impact of profitability on firm value, capital structure can strengthen the impact of firm size on firm value. The results of this study contribute to industrial sector companies in an effort to increase the value of their companies.

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Journal Info

Abbrev

fjas

Publisher

Subject

Control & Systems Engineering Decision Sciences, Operations Research & Management Education Engineering Social Sciences

Description

Formosa Journal of Applied Sciences (FJAS) seeks to propose and disseminate the knowledge by publishing original research findings and novelties, review articles and short communications in the wide spectrum of applied sciences. Scope of the journal includes: Biology, chemistry, physics, ...