The Influence Of Corporate Governance, Capital Structure, and Company Size on The Company's Financial Performance

Abstract

This study aims to examine the effect of the implementation of corporate governance, capital structure, and firm size on the financial performance of banking companies. The implementation of good corporate governance is an obligation that must be carried out by companies which already have guidelines from the Financial Services Authority and other institutions. In fact, not all companies have applied good governance even though it can improve the performance of the company so it becomes interesting to study the impact of good governance implementation in Indonesia. This study uses panel data regression analysis with research samples from banking companies listed on the Indonesia Stock Exchange (IDX) from 2017 to 2019. The results of the study as overall show that corporate governance, capital structure and firm size have a positive effect on the company's financial performance. Managerial ownership as corporate governance proxy has a significant positive impact on financial performance partially. Keywords: bank, capital structure, corporate governance, company size