Analysis of the Influence of Financial Performance and Investment on Company Profit Growth
The growth of company profit is a key indicator of success in achieving long-term business goals. Good financial performance and investment are crucial to supporting increased company profitability. The main objective of this study is to analyze the influence of financial performance and investment on company profit growth. The research also aims to identify the most significant financial and investment factors affecting company profitability. This study employs a quantitative method with a multiple regression analysis approach. The data used in this research are secondary data obtained from the company's annual financial reports over the past five years. The independent variables in this study include financial ratios reflecting financial performance and investment, while the dependent variable is company profit growth. The results show that financial performance measured through profitability ratios, liquidity, and operational efficiency significantly influences company profit growth. Moreover, sound investment decisions also play a crucial role in enhancing company profitability. The combination of strong financial performance and effective investment strategies can significantly drive company profit growth.
Authors
- Muhammad Abdillah (ORCID: https://orcid.org/0000-0003-0038-4780)
Institutions
- Universitas Muhammadiyah Malang (ID)
Publication Details
- Journal
- KINERJA Jurnal Manajemen Organisasi dan Industri
- Published
- 2024-12-01
- DOI
- https://doi.org/10.37481/jmoi.v3i2.142
- Primary Topic
- Corporate Finance and Governance
- Type
- article
- Field-Weighted Citation Impact
- 0.00