THE INFLUENCE OF COMPANY SIZE AND PROFITABILITY ON ISLAMIC SOCIAL REPORTING (ISR) ON JAKARTA ISLAMIC INDEX

Abstract

Islamic Social Reporting is a form of corporate social responsibility for both internal and external parties, including employees and the environment. This research examines the effect of Islamic cooperative governance and profitability (which is presented with return on assets - ROA) on the disclosure of Islamic Social Reporting. This research uses a purposive sampling method from companies listed on the Jakarta Islamic Index in period of 2014-2018. There are 16 companies that are sampled in this research. This research uses multiple linear regression analysis methods and the results show that the simultaneous size of the company and profitability have a significant effect on Islamic social reporting disclosure.In the other hand, the partially size of company profitability has a positive and significant effect on Islamic social reporting disclosure. This is because a large companies will be able to generate large profits. By gaining the high levels of good profitability, the disclosure of Islamic social reporting will be good as well.