THE EFFECT OF GOOD CORPORATE GOVERNANCE ON FINANCIAL PERFORMANCE WITH INTELLECTUAL CAPITAL AS A MODERATING VARIABLE

Abstract

This study aims to identify, test, and analyze the effect of institutional ownership, managerial ownership, independent commissioners, and audit committees on financial performance with intellectual capital as a moderating variable. The type of data used is quantitative, consisting of secondary data obtained from annual reports on the official websites of companies and the Indonesia Stock Exchange. The research population includes all banking sub-sector companies listed on the Indonesia Stock Exchange (IDX) during the 2020-2024 period. The sampling technique used the purposive sampling method. The data collection method utilized documentation with data analysis techniques using classical assumption tests, F-test, moderated regression analysis (MRA), and t-test. The results of the study concluded that partially, independent commissioners has a positive affect on financial performance, while institutional ownership, managerial ownership, audit committees, and intellectual capital do not affect financial performance. In addition, intellectual capital is able to strengthens the effect of institutional ownership, managerial ownership, and audit committees on financial performance, but weakens the effect of independent commissioners on financial performance. This study contributes to the development of research on corporate governance and intellectual capital towards improving the financial performance of banking companies.