THE EFFECT OF PROFITABILITY AND LIQUIDITY ON COMPANY VALUE WITH CAPITAL STRUCTURE AS A MODERATING VARIABLE

Tania Pramudita Rahmanisa Firdancahya

Abstract


Firm value reflects the market's perception of management's success in managing assets and resources to generate profits and sustainable growth. Firm value is an important indicator in assessing the performance and prospects of a business entity, particularly in the banking sector, which has been impacted by economic fluctuations due to the COVID-19 pandemic. Decreased credit demand and weakened financial activity have led to decreased profitability and liquidity, potentially impacting firm value. This study aims to analyze the effect of profitability and liquidity on firm value, with capital structure as a moderating variable, in banking subsector companies listed on the Indonesia Stock Exchange for the 2020–2024 period. A quantitative approach was used with a purposive sampling technique, resulting in a sample of 43 companies. Secondary data, in the form of financial statements, were analyzed using multiple linear regression and Moderated Regression Analysis (MRA). The results indicate that profitability has no effect on firm value. Liquidity has a positive effect on firm value. Capital structure moderates the effect of profitability and liquidity on firm value.


Full Text:

PDF

References


Adelin, D., Zulfitra, Z., Sahroni, S., & Suharsono, S. (2024). The Influence of Profitability, Liquidity and Asset Growth on Capital Structure with Company Size as a Moderating Variable in Food and Beverage Companies Listed on the Indonesian Stock Exchange for the 2017-2023 Period. Transforma Jurnal Manajemen, 2(2), 96–110. https://doi.org/10.56457/tjm.v2i2.133

Agustin, A. Y. (2022). Analisis Rasio Profitabilitas untuk Mengukur Kinerja Keuangan Pada PT. Kimia Farma Tbk Pada Tahun 2019-2021. Jurnal Ilmu Manajemen Dan Bisnis, 13(1), 1–7

CNBC Indonesia. (2020). Perbankan Indonesia Rapuh di Tengah Pandemi? Cek Data Ini. https://www.cnbcindonesia.com/tech/20200807133412-37-178210/perbankan-indonesia-rapuh-di-tengah-pandemi-cek-data-ini

Diastanova, R., & Marsoem, B. S. (2023). The Influence of Liquidity, Profitability, Asset Structure And Asset Growth on Firm Value with Capital Structure as Moderating Variable (Study in The Food & Beverage Sub-Sector Companies Listed on Indonesia Stock Exchange in The Period of 2018 - 2021). Journal of Economics, Finance and Management Studies, 06(01), 238–257. https://doi.org/10.47191/jefms/v6-i1-28

Fiqri, M. R., & Pramudena, S. (2024). The Influence of Liquidity, Profitability, and Company Size on Company Value with Capital Structure as an Intervening Variable. International Journal of Social Service and Research, 3(9), 2142–2152. https://doi.org/10.46799/ijssr.v3i9.521

Gautama, B. P., Asrifah, C., Nurhayati, N. S., Miftahuddin, A., & Perdana, Y. (2024). The Effect of Profitability and Liquidity on Firm Value with Capital Structure as a Moderating Variable. Atestasi : Jurnal Ilmiah Akuntansi, 7(1), 763–776. https://doi.org/10.57178/atestasi.v7i1.940

Ghozali, I. (2018). Aplikasi Analisis Multivariate dengan Program IBM SPSS 26 (10th ed). Badan Penerbit Universitas Diponegoro.

Hasanudin, & Wijareni. (2023). The Effect of Capital Structure, Liquidity, and Firm Size on Company Value with Profitability as an Interverning Variable. JMKSP (Jurnal Manajemen, Kepemimpinan, Dan Supervisi Pendidikan), 8(1), 461–473. https://doi.org/10.31851/jmksp.v8i1.12627

Hirdinis, M. (2019). Capital structure and firm size on firm value moderated by profitability. International Journal of Economics and Business Administration, 7(1), 174–191. https://doi.org/10.35808/ijeba/204

IPOTNews. (2022). DPK Tumbuh Melambat, OJK Klaim Karena Penggunaan Dana Korporasi untuk Ekspansi. https://www.cnbcindonesia.com/market/20240515071856-17-538129/likuditas-ketat-hingga-daya-beli-lemah-jadi-ancaman-bank-di-2024?utm_source=chatgpt.com

Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4).

Lilianti, E., Mardiana, & Oktariansyah. (2024). Pengaruh Profitabilitas , Likuiditas , Struktur Modal Terhadap Nilai Perusahaan Pada Perusahaan Perbankan Umum Pemerintah yang Terdaftar Di BEI. Journal Of Social Science Research, 4, 7515–7526.

Nurwulandari, & Hasanudin. (2021). Effect of Liquidity, Profitability, Firm Size on Firm Value with Capital Structure as Intervening Variable. ATESTASI : Jurnal Ilmiah Akuntansi, 4(2), 257–271. https://doi.org/10.33096/atestasi.v4i2.835

Panjaitan, F. R., Minan, H. K., & Arief, M. (2023). The Effect of Liquidity, Profitability And Company Size on Company Valuewith Capital Structure As An Intervening Variable In Manufacturing Companies Listed on The Idx In 2016- 2020. International Journal of Economics and Management, 1(01), 19–29. https://doi.org/10.54209/iem.v1i01.3

Ramadhan, M. A., & Hendayana, Y. (2024). The Influence Of Liquidity, Company Growth And Capital Structure On Company Value With Profitability As A Moderating Variable In Property & Real Estate Companies Listed On The Indonesia Stock Exchange In 2019 – 2023. International Journal of Current Science Research and Review, 07(06), 527–542. https://doi.org/10.47191/ijcsrr/v7-i6-59

Spence, M. (1973). Sinyal Pasar Kerja. Jurnal Ekonomi Triwulanan, 87(3).

Tempo. (2020). Survei Perbankan BI: Pertumbuhan Kredit Baru Triwulan III 2020 Meningkat.


Refbacks

  • There are currently no refbacks.


 

 

 

 

 

 

 

Editorial Office:

Universitas PGRI Madiun

Kampus 3 Lantai 2

Fakultas Ekonomi dan Bisnis

Jl. Auri no. 14-16 Madiun