Influence of Ownership Structure and Company Scale on Dividend Distribution with Debt Management Mediation

Abstract

This investigation examines the influence of ownership composition and corporate size on dividend distribution policies, with debt management acting as a mediating variable. The study analyzes mining companies listed on the Indonesia Stock Exchange between 2020 and 2023. Employing purposive sampling techniques, 23 corporations were examined using Structural Equation Modeling (SEM) through WarpPLS 8.0 software. Results demonstrate that ownership composition and corporate size exhibit positive effects on dividend distribution, while ownership structure shows negative associations with debt management. Furthermore, debt management serves as a mediating factor in the relationship between ownership structure and dividend distribution. These findings highlight the importance of balancing ownership composition with debt management strategies to optimize dividend decision-making. The study provides essential insights for corporate executives and stakeholders in developing effective financial strategies.