PENGARUH CORPORATE RISK, SALES GROWTH DAN CAPITAL INTENSITY TERHADAP KINERJA KEUANGAN PADA PERUSAHAAN FOOD AND BEVERAGE YANG TERDAFTAR DI BURSA EFEK INDONESIA

Abstract

This research aimed to find out and examine the effect of corporate risk, sale growth, and capital intensity on the financial performance of Food and Beverage companies that were listed on The Indonesia Stock Exchange (IDX) in 2016-2020. The research was quantitative with secondary data. Moreover, the data collection technique used purposive sampling, in which the sample was based on the criteria given. In line with that, there were 9 Food and Beverage companies as the sample during 5 years (2016-2020). Furthermore, the data analysis technique used multiple linear regression. The results show that corporate risk had a significant effect on financial performance. It meant corporate risk reflected a company failure that will result in unexpected losses and reflected management's failure; to ensure a return on capital to the company. On the other hand, the sales growth had an insignificant effect on the financial performance. In other words, selling costs were not able to cover production costs. Therefore, the expected financial performance was not achieved. Additionally, the capital intensity did not have any negative effect on financial performance. This meant, the higher the costs incurred for company activities were, the fewer business profits will be obtained.