Role of Firm Size and Profitability on Capital Structures and Its Impact Over Firm Value
DOI:
https://doi.org/10.38035/dijefa.v2i1.737Keywords:
Firm size, profitability, capital structure, firm value.Abstract
This research has a purpose to reveal and evaluate the significant impact from firm size to capital structure; Profitability to capital structure; capital structure to firm value; firm size to firm value; profitability to firm value; and those indirect effects of firm size and capital structure towards firm value; and those indirect effects of profitability along with capital structure to firm value. This research population was 178 manufacturing companies, while the research sample was 13 automotive subsector companies and its components which registered on the IDX by the sampling technique were purposive sampling methods. The research method that was used was quantitative methods, while the analysis model used regression analysis model with t-test and sobel test. These research results illustrated that firm size had a significant affect on capital structure; profitability had a negative and significant affect on capital structure; capital structure has no significant affect on firm value. firm size had a significant affect on firm value; profitability has no effect and is insignificant to firm value; there is no indirect and insignificant affect occurred between firm size, capital structure and firm value; There is no indirect and insignificant affect that occurs between profitability, capital structure and firm value.
References
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Smithers, A., & Wright, S. (2007). Valuing Wall Street. McGraw Hill.
Sudana, I.M. (2012). Manajemen Keuangan Perusahaan. Jakarta, Erlangga.
Torang, S. (2012). Metode Riset Struktur dan Perilaku Organisasi. Bandung: Alfabeta.
Wahome, M ., Njogu., F.M., & Muturi, W. 2015. The effects of firm size and risk on Capital Structure decisions of Insurance Industry in Kenya. International Journal of Scientific and Research Publications, 5(8).
Weston, J. F., & Copeland, T.E. (2004). Manajemen Keuangan. Jilid 2. Edisi Kesembilan. Binarupa Aksara. Jakarta.
Yuniarti, E., Mukhtaruddin, & Hanim, N. (2017). Effect On Value Earnings Management Company with Good Corporate Governance Practicesa as Moderating Variabel. SHS Web of Conferences shsconf/201 FourA 2016 04007.
Afzal, A., & Rohman, A. (2012). Pengaruh Keputusan Investasi, Keputusan Pendanaan, dan Kebijakan Deviden Terhadap Nilai Perusahaan. Diponegoro Journal of Accounting, 1(2): 9.
Aggarwal, D., & Padhan, P.C. (2017). Impact Of Capital Structure On Firm Value: Evidence From Indian Hospitality Industry. Theoretical Economics Letters, 2017, 7, 982-1000.
Alipour, M., Mohammadi, M.F.S., & Derakhshan, H. (2015). Determinants of Capital Structure: An Empirical Study Of Firms In Iran. International Journal of Law and Management, 57(1): 53-83.
Arifin, Z. (2005). Teori Keuangan dan Pasar Modal, Yogyakarta: Ekonisia.
Arikunto, S. (1998). Prosuder Penelitian Suatu Pendekatan Praktek. Jakarta: PT. Rineka Cipta.
Arlita, D.P., & Surjandari, D.A. (2019). The Effect of Profitability, Liquidity, Asset Structure, Growth Opportunity, Institutional Ownership on Capital Structure (Case Study at Property and Real Estate Companies in Indonesia Stock Exchange Period 2013-2017). Scholars Bulletin Abbreviated, 5(8): 461-470.
Atmaja, L.S. (2008). Teori dan Praktek Manajemen Keuangan.Yogyakarta: Andi.
Bintara, R. (2020). The Effect of Working Capital, Liquidity and Leverage on Profitability. Saudi Journal of Economics and Finance Abbreviated, 4(1): 28-35.
Brigham & Houston. (2010). Dasar-dasar Manajemen Keuangan Buku 1 (Edisi 11). Jakarta : Salemba Empat.
Bursa Efek Indonesia. (2019). Laporn Keuangan Perusahaan Manufaktur Otomotif Tahun 2019. Jakarta, Indonesia.
Dewi, A.S.M., & Wirajaya, A. (2013). Pengaruh Struktur Modal, Profitabilitas Dan Ukuran Perusahaan Pada Nilai Perusahaan. E-Jurnal 4.2: 358-372.
Fahmi, I. (2011). Analisa Laporan Keuangan, Bandung: Alfabeta.
Fakhruddin, M., & Hadianto, M. (2001). Perangkat dan Model Analisis Investasi di Pasar Modal. Jakarta: Gramedia.
Hamyat, H., Sarita, B., & Hasbudin, S. (2017). The Effect of Firm size and Diversification on Capital Structure and FirmValue (Study in Manufacturing Sector in Indonesia Stock Exchange). The International Journal of Engineering and Science, 6(6): 50-61.
Harc, M. (2015). The Effect Of Firm Size on SME’s Capital Structure. Croatian Academy of Sciences and Arts Institute for Scientific research and Artistic Work in Osijek. 30(3): 301-313.
Hasan, S.S., & Zaki, A.R. (2005). Critique on Optimal Capital Structure and Capital Structure Decisions by Firms in The UK. Journal of European Studies, 3(2005):358.
Hermuningsih, S. (2012). Pengaruh Profitabilitas, Size Terhadap Nilai Perusahaan Dengan Sruktur Modal Sebagai Variabel Intervening. Jurnal Siasat Bisnis, 16(2): 232-242.
Husnan, S., & Pudjiastuti, E. (2015). Dasar-Dasar Manajemen Keuangan, Edisi Ketujuh. Yogyakarta: UPP STIM YKPN.
Jensen, M., C., dan W. Meckling, (1976). Theory of the firm: Managerial behavior, agency cost and ownership structure. Journal of Finance Economic, 3: 305-360.
Karadeniz, E., & Kandir, S.Y. (2011). Firm Size and Capital Structure Decisions: Evidence From Turkish Lodging Companies. International Journal of Economics and Financial Issues, 1(1): 1-11.
Kumar, M. S., & Babu, P.C. (2016). Determinants of Capital Structure of Select Edible Oil Firms In India. Indian Journal of Commerce & Management Studies, VII(1).
Mahendra, A. Dj., L.G.S.A,., & Suarjaya, A.A.G. (2012). Pengaruh Kinerja Keuangan Terhadap NilaiPerusahaan Pada Perusahaan Manufaktur Di Bursa Efek Indonesia. Jurnal Manajemen, Strategi Bisnis, Dan Kewirausahaan, 6(2).
Nuraina, E. (2012). Pengaruh Kepemilikan Institusional Dan Ukuran Perusahaan Terhadap Kebijakan Hutang Dan Nilai Perusahaan (Studi Pada Perusahaan Manufaktur Yang Terdaftar di BEI). Akuntansi AKRUAL, 4(1): 51-70.
Osazuwa, N.P, & Che-Ahmad, A. (2015). The moderating effect of profitability and leverage on the relationship between eco-efficiency and firm value in publicly traded Malaysian firms. Emerald Group Publishing Limited, 12(2): 295-306.
Otoritas Jasa Keuangan. (2018). Peraturan Otoritas Jasa Keuangan Republik Indonesia Nomor 35/POJK.052018 tentang Penyelenggaraan Usaha Perusahaan Pembiayaan. Jakarta, Indonesia.
Prasetyorini, B.F. (2013). Pengaruh Ukuran Perusahaan, Leverage, Price Earning Ratio, dan Profitabilitas Terhadap Nilai Perusahaan. Jurnal Imu Manajemen, 1(1).
Putu, H.K., & Wisuana, I.G.B. (2015). Pengaruh Ukuran Perusahaan, Pertumbuhan Penjualan, dan Non-Debt Tax Shield terhadap Struktur Modal pada Perusahaan Telekomunikasi di Bursa Efek Indonesia. E-Jurnal Manajemen Unud, 4.
Republik Indonesia. (2019). Undang-Undang Republik Indonesia Nomor 20 Tahun 2008 Tentang Usaha Mikro, Kecil, dan Menengah. Jakarta, Indonesia.
Sartono, A. (2010). Manajemen Keuangan Teori dan Aplikasi (4th ed.). Yogyakarta: BPFE.
Sekaran, U. (2017). Metode Penelitian untuk Bisnis. Jakarta: Salemba Empat.
Setiadharma ,S., & Machali, M. (2017). The Effect of Asset Structure and Firm Size on Firm Value with Capital Structure as Intervening Variable. Journal of Business & Financial Affairs. DOI: 10.4172/2167-0234.1000298
Shelly, A. (2016) Pengaruh ukuran perusahaan, profitabilitas, likuiditas dan struktur aktiva terhadap struktur modal. JOM FISIP, 3(2): 1-13.
Sinha, A. ( 2017). An Enquiry Into Effect Of Capital Structure On Firm Value: A Study Of Power Sector Companies In India. Parikalpana - KIIT Journal of Management. December, DOI : 10.23862/kiit-parikalpana/2017/v13/i2/164525
Smithers, A., & Wright, S. (2007). Valuing Wall Street. McGraw Hill.
Sudana, I.M. (2012). Manajemen Keuangan Perusahaan. Jakarta, Erlangga.
Torang, S. (2012). Metode Riset Struktur dan Perilaku Organisasi. Bandung: Alfabeta.
Wahome, M ., Njogu., F.M., & Muturi, W. 2015. The effects of firm size and risk on Capital Structure decisions of Insurance Industry in Kenya. International Journal of Scientific and Research Publications, 5(8).
Weston, J. F., & Copeland, T.E. (2004). Manajemen Keuangan. Jilid 2. Edisi Kesembilan. Binarupa Aksara. Jakarta.
Yuniarti, E., Mukhtaruddin, & Hanim, N. (2017). Effect On Value Earnings Management Company with Good Corporate Governance Practicesa as Moderating Variabel. SHS Web of Conferences shsconf/201 FourA 2016 04007.
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