Does Earnings Management Moderate the Effects of Profitability, Capital Structure, and Accounting Conservatism on Firm Value?

Diamond Limbong (Faculty of Economics and Business, Sekolah Tinggi Ilmu Ekonomi Enam Enam Kendari, Indonesia)
Astriwati (Faculty of Economics and Business, Sekolah Tinggi Ilmu Ekonomi Enam Enam Kendari, Indonesia)
Marsuddin Musa (Faculty of Economics and Business, Sekolah Tinggi Ilmu Ekonomi Enam Enam Kendari, Indonesia)
Yuni Maimuna (Faculty of Economics and Business, Sekolah Tinggi Ilmu Ekonomi Enam Enam Kendari, Indonesia)

E-Jurnal Akuntansi
Vol. 34 No. 7 (2024)

This research aims to analyze the influence of profitability, capital structure, and accounting conservatism on firm value, with earnings management as a moderating variable. The data for this research is quantitative and obtained through the annual reports of the 20 largest banks in ASEAN from 2019 to 2022. The data analysis method used in this research is panel data regression analysis with Common Effect Model (CEM) and Moderated Regression Analysis (MRA) with earnings management as moderate variable. The results of this research indicate that profitability and capital structure have a significant negative impact on the firm value. Meanwhile, accounting conservatism does not have a significant impact on firm value. The moderation test shows that the earnings management variable is able to strengthen the influence of profitability, capital structure, and accounting conservatism variables on firm value. Thus, earnings management is considered appropriate as a moderating variable in this research.