Financial Performance as Determinants of Firm Value

Arwina Karmudiandri
Accounting Department, Trisakti School of Management, Indonesia
DOI – http://doi.org/10.37502/IJSMR.2025.8511

Abstract

This research aims to obtain empirical evidence regarding the influence of leverage, profitability, and dividend policy on firm value. The object of this research is all companies in the non-financial industry listed on the Indonesia Stock Exchange (IDX) for 3 years period, from 2021 to 2023. The sample selection was carried out using purposive sampling technique. Based on the set criteria, 80 companies with 240 data were obtained which will be further tested using the multiple regression method. The results of this research indicate that two of the independent variables tested, namely leverage and profitability, have a positive effect on firm value.

Keywords: Firm value, Financial Performance, Leverage, Profitability

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