Green Innovation And Financial Performance Effects On Firm Value In Manufacturing Sector

Abstract

This research examines green innovation and financial performance impacts on firm value in manufacturing companies. Utilizing purposive sampling methodology, 80 companies listed on the Indonesia Stock Exchange between 2019-2023 were selected, generating 400 observations. Secondary data underwent analysis through the SPSS version 26 application employing descriptive statistics, classical assumption tests, multiple linear regression, and hypothesis testing. Empirical findings reveal green innovation demonstrates a significant negative effect, while financial performance exhibits an insignificant positive influence on firm value. Collectively, these variables explain 2.4% variance in firm value determination, with the remaining 97.6% attributed to unexamined factors beyond the research scope.