PERAN KEBIJAKAN DIVIDEN DALAM MEMEDIASI KINERJA KEUANGAN DAN NILAI PERUSAHAAN

Abstract

The purpose of this study was to determine the role of dividend policy in mediating the effect of financial performance on firm value. The samples used in this study were all manufacturing companies listed on the Indonesia Stock Exchange for the period 2010-2018 that had met the criteria. Profitability as one of the confirmed financial performances has inconsistent effects on firm value. To overcome this inequality, dividend policy is proposed as an intervening variable. The results show that dividend policy can mediate the effect of profitability on firm value. This finding supports the signaling theory and proves that financial performances as measured by profitability ratios can further increase a firm value by optimizing its dividend policy.