Journal of Islamic Accounting and Finance Research
Vol 4, No 1 (2022)

Does financial performance and company age affect the rating Islamic bond?

Siti Komariyah (Universitas Islam Negeri Walisongo Semarang)
Firdha Rahmiyanti (Universitas Islam Negeri Walisongo Semarang)
Nurul Hadi Manan (Bandirma Onyedi Eylűl University)



Article Info

Publish Date
19 Jul 2022

Abstract

Purpose - This study aims to determine the effect of solvency ratios, liquidity ratios, profitability ratios, and company age on the rating of Islamic bonds (Sukuk) in companies issuing  Sukuk listed on the Indonesia Stock Exchange (IDX) for the 2016-2020 period. The independent variables used in this study are solvency ratio (DER), liquidity ratio (CR), profitability ratio (ROE), and company age. The dependent variable is the rating of Sukuk.Method - This study uses quantitative research methodology by purposive sampling. The gathered data on this study were procesed using STATA v.14.Result - The results showed that the solvency ratio had no negative effect on the rating of Sukuk, the liquidity ratio had a positive effect on the rating of Sukuk, the profitability ratio has a negative effect on the rating of Sukuk, company age has a positive effect on the rating of Sukuk.Implication - Future research can expand the object of research in several other districts and can add research variables.Originality - The sluggish global economic condition that has resulted in a decline in the performance of sukuk issuing companies is an interesting topic to study. In addition, the analysis tool uses several panel data models as a new thing in this study.

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Journal Info

Abbrev

jiafr

Publisher

Subject

Religion Economics, Econometrics & Finance

Description

Journal of Islamic Accounting and Finance Research (JIAFR) is a peer-reviewed journal published twice a year (April and October) by the Department of Sharia Accounting Faculty of Islamic Economics and Business, Universitas Islam Negeri (UIN) Walisongo Semarang Indonesia. JIAFR aims to publish ...