International Journal of Economics and Management
Vol. 4 No. 3 (2026): IEM : International Journal of Economics and Management

THE EFFECT OF CAPITAL STRUCTURE AND INVESTMENT DECISIONS ON PROFITABILITY WITH FIRM GROWTH AS A MODERATING VARIABLE IN MANUFACTURING COMPANIES LISTED ON THE INDONESIAN STOCK EXCHANGE

Saima Hotnasari Harahap (Universitas Pembangunan Panca Budi)
M. Irsan Nasution (Universitas Pembangunan Panca Budi)
Rahima Br. Purba (Universitas Pembangunan Panca Budi)



Article Info

Publish Date
30 Oct 2026

Abstract

The research analyzes capital structure, investment decisions, and profitability among manufacturing firm whose shares are traded listed through the Indonesia Stock Exchange (IDX) from 2020 to 2024 period. Given importence attached these factors in corporate financial management, this study further investigates whether firm growth moderates the relationships among these variabels. Secondary data from financial statements an annual repots of selected firms were analyzed through a quantitative approach Purposive sampling procedure produced a sample of 15 companies and 75 observations. Data analysis involved multiple linier regression and Moderated Regression Analysis, with findings demonstrating that capital structure positively and significantly affect profitability, organizations must carefully manage their financial framework, whereas invesments decisios show a positive but statiscally insignificant influence. Consequently, firm expansion failed to moderate the imopacts that capital structure and invesmnets decisions exerted on profitability.

Copyrights © 2026






Journal Info

Abbrev

iem

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

The IEM invites manuscripts in the areas: Management, accounting, Marketing Management, Finance Management, Strategic Management, Operation Management, Human Resource Management, E-business, Knowledge Management, Management Syariah, Accounting Syariah, Corporate Governance, Management Information ...