The Effect Of Profitability And Leverage On Firm Value With Firm Size As A Moderating Variable In The Food And Beverage Subsector Listed On The Indonesia Stock Exchange

Reza Aprilia Audina; Hasim As’ari; Rochmad Bayu Utomo; Ika Wulandari

doi:10.63922/ijebir.v5i06.7079

Reza Aprilia Audina Program Studi Akuntansi Fakultas Ekonomi Universitas Mercu Buana Yogyakarta Yogyakarta
Hasim As’ari Program Studi Akuntansi Fakultas Ekonomi Universitas Mercu Buana Yogyakarta Yogyakarta
Rochmad Bayu Utomo Program Studi Akuntansi Fakultas Ekonomi Universitas Mercu Buana Yogyakarta Yogyakarta
Ika Wulandari Program Studi Akuntansi Fakultas Ekonomi Universitas Mercu Buana Yogyakarta Yogyakarta

DOI: https://doi.org/10.63922/ijebir.v5i06.7079

Keywords: Firm Size, Firm Value, Food and Beverage Subsector, Leverage, Profitability

Abstract

This study was motivated by fluctuations in firm value among food and beverage companies listed on the Indonesia Stock Exchange and inconsistent findings in previous studies regarding the effects of profitability and leverage on firm value. This study aimed to examine the effects of profitability and leverage on firm value and test firm size as a moderating variable. A quantitative approach was employed using secondary data from annual financial statements and stock prices for 2022–2024. The population comprised food and beverage subsector companies listed on the Indonesia Stock Exchange. Using purposive sampling, 12 companies were selected, yielding 36 observations. Data were collected through documentation and analyzed using SPSS, including descriptive statistics, classical assumption tests, regression analysis, Moderated Regression Analysis (MRA), and hypothesis testing. The results showed that profitability and leverage had positive and significant effects on firm value. Firm size also has a positive and significant direct effect but does not moderate the relationship of profitability or leverage with firm value. In conclusion, profitability and debt management are important factors associated with firm value, whereas firm size was not demonstrated to strengthen or weaken either relationship.

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