Abstract
Background: The research purpose to analyzing impacts of funding source changes on pharmacy company profits that went public on Indonesian Stock Exchange, with analysis period of 2008 to 2013.
 Methods: The research applied analysis means in line with requirements of change variable measurements of funding sources in its interconnectedness with company profits; the applied model was Auto-regressive.
 Results: The research results indicated that changes of the last one-period short term debts had negative effects insignificantly on company profits, the last two-period short term debts had positive effects significantly on company profits, changes of the last one-period and two-period long term debts had negative effects insignificantly on company profits, equity changes of the last period had positive effects significantly on company profits, the last period profit changes had negative effects significantly on company profits.
 Conclusion: Last one-period short term, last one-period long term, last two-period long term debt changes, and last period profit have negative insignificant effect on company profit. Last two-period short term debt changes, last one-period equity changes, and last two-period equity changes have positive significant effect on company profit.
Highlights
The fluctuations of net profit growth taken place do not apart from a numbers of internal and external factors; from the internal factor this fluctuation can be analyzed by means of how do companies manage their organizational resources
The research result did not agree with the research of Baumol, et al, these results indicated that the utilization of last one-period short term debt tend to be less profitable for company (1)
The research results agreed with the research of Baumol, et al, these results indicated that the utilization of last two-period short term debt tend to be profitable for company (1)
Summary
The fluctuations of net profit growth taken place do not apart from a numbers of internal and external factors; from the internal factor this fluctuation can be analyzed by means of how do companies manage their organizational resources. The decision to increase or decrease funds source, or, in other word, to alternate resources bring the different consequences on company profit change in the future (1). Large companies may to access capital market, due to they have flexibility and capability to acquire the more and more company fund (3;4) It shall, the larger company size the more opportunity alternative the company can choose in order to optimize its performance. Douglas suggested that the larger company, in the industrial condition in which there is economic of scale, it will tend to increase its operational until per unit product cost can be suppressed (5). By the decrease of per unit cost, in “ceteris paribus” condition it will automatically increase company profit. Last two-period short term debt changes, last one-period equity changes, and last two-period equity changes have positive significant effect on company profit.
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