Financial Performance Mediates the Influence Between Good Corporate Governance and Firm Value

I Gde Andika Ariesta Kiradi; Ni Gusti Putu Wirawati

doi:10.21009/ISC-BEAM.012.191

I Gde Andika Ariesta Kiradi Udayana University
Ni Gusti Putu Wirawati Udayana University

DOI: https://doi.org/10.21009/ISC-BEAM.012.191

Keywords: Good Corporate Governance; Firm Value; Financial Performance

Abstract

This research investigates the influence of Good Corporate Governance (GCG) on firm value, with financial performance acting as a mediator, specifically within business entities in the Energy Sector registered on the IDX from 2018 to 2022. The findings reveal that GCG, which is assessed through the board of directors, independent commissioners, and institutional stocks holding, enhances both firm value and financial performance. Furthermore, financial performance, as indicated by Return on Equity (ROE), serves as a mediating factor between GCG and firm value. This research underscores the critical role of robust GCG practices in achieving superior financial performance and increased firm value. The findings are useful for policy makers, practitioners, and stakeholders in optimizing GCG practices in the energy sector.

References

Abdallah, A., Afifa, M. A., Saleh, I. H., & Alsufy, F. (2022). Determinants of Market Stock Price: New Evidence from an Emerging Market. Information Sciences Letters, 11(2), 549–558. https://doi.org/10.18576/isl/110223.

Budiman, Raymod. (2017). Investing Is Easy: Teknik Analisa Dan Strategi Investasi Saham Untuk Pemula. Jakarta: Erlangga.

Ghozali, I. (2014). Aplikasi Analisis Multivariete Dengan Program IBM SPSS. Badan Penerbit Universitas Diponegoro.

Ikhsan, A., Nurlaila, Suprasto, H. B., & Batubara, F. Y. (2021). Determinat of The Corporate Social Responsibility Disclosure in Indonesian Manufacturing business entities. Jurnal Ilmiah Akuntansi dan Bisnis, 16(1), 71-83.

Jensen, M. C., & Meckling, W. H. (1976). Theory Of The Firm : Managerial Behavior, Agency Costs, And Ownership Structure

Marini, Y., & Marina, N. (2017). Pengaruh Good Corporate Governance Terhadap Nilai Perusahaan. Jurnal Humaniora: Jurnal Ilmu Sosial, Ekonomi Dan Hukum, 1(1), 7-20.

Meianti, A., & Imsar, I. (2023). The Effect of Good Corporate Governance on Company Value with Financial Performance as a Moderation Variable (Case research of Insurance business entities registered on the Indonesia Stock Exchange). Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE), 6(3), 1605-1623.

Muttaqin, Z., Fitriyani, A., Ridho, T. K., & Nugraha, D. P. (2019). ANALISIS GOOD CORPORATE GOVERNANCE, LEVERAGE TERHADAP NILAI PERUSAHAAN DENGAN PROFITABILITAS SEBAGAI VARIABEL PEMODERASI. Tirtayasa Ekonomika, 14(2), 293. https://doi.org/10.35448/jte.v14i2.6525

Napitulu, R. B., Simanjuntak, T. P., Hutabarat, L., Damanik, H., Harianja, H., Sirait, R. T. M., & Tobing, C. E. R. L. (2021). Penelitian Bisnis: Teknik dan Analisis Data dengan SPSS - STATA - EVIEWS (1st ed.). Madenatera.

Nurlia, & Juwari. (2016). Pengaruh Return On Asset , Return On Equity , Earning Per Share Dan Current Ratio Terhadap Harga Saham Pada Perusahaan Sub Sektor Terdaftar Di Bursa. Jurnal Geoekonomi, 73– 90.

Nurulrahmatiah, N., Pratiwi, A., & Manajemen Sekolah Tinggi Ilmu Ekonomi Bima, P. (2020). Pengaruh Good Corporate Governance dan Kinerja Keuangan Terhadap Harga Saham Perusahaan Sektor Makanan dan Minuman yang Terdaftar di Bursa Efek Indonesia (BEI) Tahun 2011-2018. Coopetition: Jurnal Ilmiah Manajemen.

Osak, D. J., & Pasharibu, Y. (2020). Pengaruh Brand Ambasador Dan Tagline Terhadap Keputusan Pembelian Online Dengan Mediasi Brand Awareness. E-Jurnal Ekonomi Dan Bisnis Universitas Udayana, 9(2020), 357-380.

Petchsakulwong, P., & Jansakul, N. (2018). Board of directors and profitability ratio of Thai non-life insurers. Kasetsart Journal of Social Sciences, 39(1), 122–128. https://doi.org/10.1016/j.kjss.2017.11.005.

Prastuti, N. K. K., & Budiasih, I. G. A. N. (2015). Pengaruh good business entity governance pada nilai perusahaan dengan moderasi business entity social responsibility. E-Jurnal akuntansi universitas udayana, 13(1), 114-129.

Rahmadani, F. D., & Rahayu, S. M. (2017). Pengaruh Good Corporate Governance (Gcg), Profitabilitas Dan Leverage Terhadap Nilai Perusahaan (Studi Kasus Pada Perusahan Perbankan Yang Terdaftar Pada Bei Periode 2013-2015). Jurnal Administrasi Bisnis, 52(1), 173–182.

Riadi, Muchlisin (2017). Pengertian Nilai Perusahaan. www.kajianpustaka.com.

Riza, F. (2018). Pengaruh Corporate Governance , Likuiditas Dan Kinerja Keuangan Terhadap Nilai Pasar Perusahaan (Studi Empiris Emiten Yang Mendapat Gcg Award Iicd. Jurnal Profita, 11(1), 91–105.

Savitri, C., Faddila, S. P., Irmawartini, Iswari, H., Anam, C., Syah, S., Mulyani, S. R., Sihombing, P. R., Kismawadi, E. R., Pujianto, A., Mulyati, A., Astuti, Y., Adinugroho, W. C., Imanuddin, R., Kristia, Nuraini, A., & Siregar, M. T. (2021). Statistik Multivariat dalam Riset (I. Ahmaddien, Ed.). Penerbit Widina Bhakti Persada Bandung. www.penerbitwidina.com

Situmorang, C. V., & Simanjuntak, A. (2019). Pengaruh Good Corporate Governance Terhadap Kinerja Keuangan Perusahaan Perbankan Yang Terdaftar Di Bursa Efek Indonesia. Jurnal Akuntansi Dan Bisnis, 5(02), 160–169. Https://Doi.Org/10.31289/Jab.V5i2.2694.

Sobel, Michael E. (1982). "Asymptotic Confidence Intervals for Indirect Effects in Structural Equation Models". Sociological Methodology. 13: 290–312. CiteSeerX 10.1.1.452.5935. doi:10.2307/270723. JSTOR 270723

Spence, M. (1973). Job Market Signaling. The Quarterly Journal of Economics, 87(3), 355–374. https://doi.org/10.2307/1882010.

Sugiyono. (2018). Metode Penelitian Kuantitatif dan Kualitatif dan R&D. Alfabeta.

Syafaatul L, Kurnia. (2014). Pengaruh Good Corporate Governance Terhadap Harga Saham. Portal Garuda: Universitas Brawijaya.

Syafitri, T., Nuzula, N. F., & Nurlaily, F. (2018). Pengaruh Good Corporate Governance Terhadap Nilai Perusahaan (Studi Pada Perusahaan Industri Sub Sektor Logam Dan Sejenisnya Yang Terdaftar Di Bei Periode 2012-2016). Jurnal Administrasi Bisnis, 56(1), 118–126.

Wahyuningsih, A., & Rasmini, N. K. (2020) CSR Disclosure on Earnings Management with the Presence of Women in the GCG Structure. Jurnal Ilmiah Akuntansi dan Bisnis, 15(2), 293-307.

Widianingsih, D. (2018). Kepemilikan Manajerial, Kepemilikan Institusional, Komisaris Independen, serta Komite Audit pada Nilai Perusahaan dengan Pengungkapan CSR sebagai Variabel Moderating dan Firm Size sebagai Variabel Kontrol. Jurnal Akuntansi Dan Pajak, 19(1), 38. https://doi.org/10.29040/jap.v19i1.196.

Wooldridge, J. M. (2016). Should instrumental variables be used as matching variables?. Research in Economics, 70(2), 232-237.

Yanti. (2015). Pengaruh Corporate Social Responsibility Dan Environmental Performance Terhadap Kinerja Keuangan Bumn Dan Non Bumn Yang Terdaftar Di Bursa Efek Indonesia 2009-2012. Jurnal Akuntansi, Xix(02), 242–259.