IJRR

International Journal of Research and Review

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Year: 2025 | Month: March | Volume: 12 | Issue: 3 | Pages: 330-343

DOI: https://doi.org/10.52403/ijrr.20250341

The Effect of Good Corporate Governance on the Financial Performance with Capital Structure as a Moderating Variable at the Property and Real Estate Companies Listed on the Indonesia Stock Exchange

Mhd Fadhlan Tarigan1, Rina Br Bukit2, Rujiman3

1,2,3Department of Accounting, Faculty of Economics and Business, Universitas Sumatera Utara, Indonesia

Corresponding Author: Mhd Fadhlan Tarigan

ABSTRACT

This research aims to determine the influence of Good Corporate Governance, which consists of institutional ownership, public ownership, audit committee, independence of the board of commissioners and independence of the board of directors on financial performance with capital structure as a moderating variable in property & real estate companies listed on the Stock Exchange Indonesia (BEI). This research uses a quantitative approach with secondary data as a sample of 12 property & real estate companies listed on the Indonesia Stock Exchange in 2019-2023. The sampling technique uses a purposive sampling method. The data analysis technique uses multiple linear regression analysis and residual tests for moderating variables carried out with the Eviews 10 program. The research results show that institutional ownership affects financial performance. Capital structure as a moderating variable can moderate public ownership of financial performance.

Keywords: good corporate governance, institutional ownership, public ownership, audit committee, independence of the board of commissioners, independence of the board of directors, financial performance, capital structure

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