The Effect of ESG Disclosure and Leverage on Firm Value, with Profitability as A Moderating Factor, Among Energy-Sector Companies Listed on the IDX from 2020 to 2024
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This study aimed to analyze the influence of Environmental, Social, and Governance (ESG) Disclosure and Leverage on Company Value, with Profitability as a moderating variable, among energy-sector companies listed on the Indonesia Stock Exchange (IDX) during the 2020–2024 period. This study employed a quantitative approach using secondary data obtained from Bloomberg, financial statements, and company annual reports. The research sample consisted of 17 companies selected through purposive sampling, resulting in a total of 85 observations. Data analysis was conducted using Multiple Linear Regression Analysis and Moderated Regression Analysis (MRA) with SPSS software. The results showed that ESG Disclosure had a negative and significant effect on Company Value, while Leverage, measured using the Debt-to-Asset Ratio (DAR), had a positive and significant effect on Company Value. The Profitability moderation variable, measured using Return on Assets (ROA), was unable to moderate the effect of ESG Disclosure on Company Value but was able to significantly moderate the effect of Leverage on Company Value in a negative direction. These findings indicate that investors in energy-sector companies in Indonesia continue to prioritize fundamental financial factors over ESG disclosures when assessing Company Value, and that high profitability may weaken the positive impact of debt utilization on Company Value.
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