Intellectual Capital and Capital Structure on Firm Value with Profitability as an Intervening Variable: Study of Banking Subsector Companies Listed on the Indonesia Stock Exchange (IDX) from 2019 to 2023
Quantitative analysis reveals that while intellectual capital enhances profitability, it does not improve firm value, indicating complexities in firm valuation.
Key Points
Intellectual capital increases profitability directly but does not significantly elevate firm value.
Capital structure markedly influences profitability and subsequently impacts business value.
A quantitative methodology using SmartPLS 4.0 software assessed the interactions among variables.
High debt levels can reduce both profitability and firm value due to increased financial risk.
Cite This Study
Angelia Putri Tampubolon (2025) studied this question.