Abstract
The aims of this research are to find out how the effect of financial performance is proxied by ROA and ROE on the firm value which is proxied by Tobin's Q with CSR that is proxied by cost allocation as moderating the plantation sub-sector listed on the Indonesia Stock Exchange for the period of 2013-2016. This research will seek the causes of whether CSR data allocation is able to strengthen or weaken the influence of financial performance on firm value. The sampling technique used was purposive sampling, and eight companies were selected as samples of plantations with a four-year research period to obtain 32 sample units. The analytical method used is descriptive statistical testing, panel data regression analysis and moderated regression analysis (MRA) using e-views software 9.0 versions. Based on the result of the test, the financial performance variables that are proxied by ROA and ROE partially and simultaneously have a significant positive effect on firm value. While the MRA showed that CSR weakens the relationship between financial performance and company value. Based on the result that the companies and investors need to pay attention to the composition of financial performance and disclosure of corporate social responsibility, hence the investor is able to minimize the risks that will be borne when investing their capital.
Highlights
Plantation commodities are one of the mainstays for Indonesia's national income and foreign exchange, which can be seen from the contribution of the plantation subsector in 2013 to reach US $ 45.54 billion or equivalent to Rp.546.42 trillion which includes export of plantation commodities of US $ 35.64 billion, excise of tobacco products of US $ 8.63 billion and export duty (ED) of CPO and cocoa beans of US $ 1.26 billion
Based on the result and discussion that has been done, the conclusions from the study is showed that the financial performance variable is proxied as return on assets with firm value stating that if the return on assets value is higher the value of the company will increase
In the financial performance variable proxied by return on assets with moderation in the disclosure of corporate social responsibility to company value, the lower the return value on company assets, the company will experience a decrease in the value of the company causing disclosure of corporate social responsibility
Summary
Plantation plays an important role in the development of a region; it is a hope that the plantation is able to create jobs for the population, as a source of income, as a means of doing business, and as a means to be able to change fate in a better direction. The increased profits and decreased profits are experienced by plantation companies which can increase and even reduce investor confidence in the plantation subsector companies. It shows that companies can provide high returns as well. With a low profit, the company gives a low return. Financial statements are mentioned to have information content if the publication of these financial statements causes a market
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
