PENGARUH PROFITABILITAS, LIKUIDITAS DAN PERTUMBUHAN LABA TERHADAP LEVERAGE

Abstract

This research examines and analyzes the effect of profitability, liquidity, and growth on leverage at Basic Industry & Minerals companies listed on the Indonesia Stock Exchange (IDX) in 2023. The research applies quantitatively with a causal-comparative approach. Furthermore, the population consists of Basic Industry & Minerals companies listed on IDX. The data collection technique used was purposive sampling. In line with that, 103 samples were taken through 92 observations, which were examined. Moreover, the data analysis techniques used were classical assumption tests and hypothesis tests (T-test, F-test, and R2 test) with the data gained from the official website idx.co.id. Meanwhile, multiple linear regressions were used to analyse the hypothesis with SPSS 19.0 for windows. The result shows that (1) Return on Assets (ROA) had a negative and significant effect on leverage, which was referred to as Debt to Equity Ratio (DER) at Basic Industry and Materials companies; (2) Current Ratio has a negative and significant effect on leverage; (3) Earning Per Share (EPS) does not affect leverage; and (4) Determination coefficient (R2) has 0,22 which means the effect of independent variables on dependent variable was about 22%.