IDEAS home Printed from https://ideas.repec.org/h/spr/advbcp/978-94-6463-066-4_4.html

Capital Structure as a Mediating Factor in the Profitability and Firm Value Connection

In: Proceedings of the International Colloquium on Business and Economics (ICBE 2022)

Author

Listed:
  • Akhmadi

    (Universitas Sultan Ageng Tirtayasa)

  • Enok Nurhayati

    (Universitas Sultan Ageng Tirtayasa)

  • Muhamad Miftahul Rahman

    (Universitas Sultan Ageng Tirtayasa)

Abstract

As an intervening variable of coloration profitability, this study aims to ascertain the impact of capital structure on firm value. The research sample is. 15 corporations from 20 state-owned businesses listed on the Indonesia Stock Exchange (IDX) between 2010 and 2018 made up the research sample. The number of research samples is determined using the purposive sampling technique. The analytic data techniques used were descriptive statistics, the classic assumption test, the partial hypothesis test, and the intervening test. The study’s findings demonstrate that the price-to-book value increases as the return on equity increases. The debt-to-equity ratio decreases as the return on equity increases. The debt-to-equity ratio negatively and negligibly impacts price-to-book value. The debt-equity ratio does not mediate the relationship between return on equity and price-to-book value.

Suggested Citation

  • Akhmadi & Enok Nurhayati & Muhamad Miftahul Rahman, 2022. "Capital Structure as a Mediating Factor in the Profitability and Firm Value Connection," Advances in Economics, Business and Management Research, in: Rahmawati Rahmawati & Mulyaningsih Tri & Arifin Taufiq & Hendarsjah Hidajat (ed.), Proceedings of the International Colloquium on Business and Economics (ICBE 2022), pages 21-36, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-066-4_4
    DOI: 10.2991/978-94-6463-066-4_4
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:advbcp:978-94-6463-066-4_4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.