<![CDATA[Purpose: to examine the effect of capital structure, measured by debt to equity ratio (DER), and profitability, measured by return on equity (ROE), on firm value, measured by price to book value (PBV). Method: this study uses a quantitative, associative research design. The data used are secondary data obtained from the annual financial statements of PT. Indocement Tunggal Prakarsa Tbk. for the period 2015–2024. The data are analyzed using multiple linear regressions in EViews. Findings: capital structure has a negative and significant effect on firm value, while profitability has no significant effect on firm value. However, capital structure and profitability simultaneously have a significant effect on the firm's value. Implications: capital structure plays a more dominant role than profitability in determining firm value. Therefore, PT. Indocement Tunggal Prakarsa Tbk. should carefully manage its debt levels to avoid excessive financial risk and ensure optimal capital structure in order to enhance firm value. Originality: lies in its specific focus on PT. Indocement Tunggal Prakarsa Tbk. uses recent financial data from 2015–2024, providing updated empirical evidence on the relationship between capital structure, profitability, and firm value in the Indonesian cement industry.]]>
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