The Effect of Good Corporate Governance, Firm Size and Leverage Company Financial Performance

Abstract

This study aims to analyze the effect of the board of commissioners, independent commissioners, firm size, and leverage on the financial performance of manufacturing companies in the basic and chemical industry sector listed on the Indonesia Stock Exchange (IDX) during the 2021–2023 period. A quantitative approach was used with secondary data obtained from annual reports of these manufacturing companies. The research sample consisted of 99 observations, covering 33 companies over three years, selected using purposive sampling. Data processing was carried out with SPSS version 27. The results show that the board of commissioners has a negative effect on financial performance, independent commissioners have a negative effect, firm size has a positive effect, and leverage has a negative effect on financial performance.