PENGARUH GOOD CORPORATE GOVERNANCE DAN FIRM SIZE TERHADAP KINERJA KEUANGAN PERUSAHAAN

Abstract

This research aimed to examine the effect of good corporate governance and firm size on the financial performance of industry companies listed on The Indonesia Stock Exchange (IDX) in the 2017-2020 period. The research was quantitative with the secondary research data through annual reports. Furthermore, the sample collection technique used purposive sampling obtained 56 samples data from 14 companies during the four period. Moreover, the variable of good corporate governance was proxy with managerial ownership, institutional ownership, independent commissioner, audit committee, and the firm value variable measured by total assets, and financial performance was proxy with Return On Asset (ROA). In addition, the research analysis method used multiple regression analysis with the application of Statistical Package for Social Sciences (SPSS). The research result showed that: 1) Managerial ownership did not affect the financial performance. 2) Institutional ownership had a positive and significant effect on the financial institution. 3) The independent commissioner had a negative and significant effect on the financial performance. 4) The audit committee did not affect the financial performance. 5) Firm size did not affect the financial performance.