CEO Narcissism as a Moderator in the Relationship Between Financial Indicators and Earnings Management

This study examines the influence of leverage, firm size, and profitability on earnings management, with CEO narcissism as a moderating variable. Using data from manufacturing companies listed on the Indonesia Stock Exchange (IDX) from 2018 to 2023, the research employs quantitative methods, including multiple linear regression and moderated regression analysis (MRA). The results indicate that leverage, firm size, and profitability positively and significantly affect earnings management. Furthermore, CEO narcissism strengthens the relationship between leverage and earnings management, as well as between profitability and earnings management, but does not moderate the effect of firm size on earnings management. These findings contribute to the understanding of how psychological traits of CEOs interact with financial factors to influence corporate financial reporting practices.