Lead Journal of Economy and Administration

The Relationship Between Financial Ratios, Company Growth, and Shareholder Value in Financial Statement Reporting

Tue, 29 Jul 2025 00:00:00 +0700

This study examines the relationship between corporate expansion, crucial financial indicators, and the worth attributed to shareholders, specifically within companies listed on the Indonesia Stock Exchange. The financial metrics considered in this analysis are Return on Equity (ROE), the Debt to Equity Ratio (DER), and Earnings Per Share (EPS). A quantitative approach was adopted, involving the examination of financial statements spanning from 2018 to 2022. Multiple regression analysis was utilized to assess how independent variables affect shareholder value. The findings indicate that both ROE and company growth positively influence shareholder value, whereas a higher DER negatively impacts it. These results highlight the critical role of proficient management in optimizing equity utilization and managing debt to enhance company valuation. This study contributes to a deeper understanding of how financial ratios and growth interact to shape shareholder value. It offers recommendations for company leadership to prioritize boosting ROE and fostering sustainable growth while mitigating debt-related risks. Furthermore, it suggests that future studies could benefit from a broader sample and the inclusion of macroeconomic factors for more robust conclusions. Consequently, this research can inform sound investment choices and financial management approaches for businesses.

Integration of Triple Bottom Line (People, Planet, Profit) in Sustainability Accounting and Reporting in Manufacturing Companies

Tue, 29 Jul 2025 00:00:00 +0700

This study aims to evaluate the integration of the Triple Bottom Line (TBL) approach People, Planet, and Profit into Sustainability Accounting and Reporting (SAR) practices within manufacturing companies in Indonesia. The analysis focuses on four major corporations: PT Unilever Indonesia Tbk, PT Semen Indonesia Tbk, PT Indofood Sukses Makmur Tbk, and PT Astra International Tbk, all of which have consistently published sustainability reports during the 2021–2024 period. A qualitative descriptive method was applied, using content analysis of sustainability reports based on the Global Reporting Initiative (GRI) Standards and the Indonesian Financial Services Authority Regulation No. 51/POJK.03/2017. The findings reveal that the profit (economic) aspect is more prominently and consistently reported, while the people (social) and planet (environmental) aspects tend to be symbolic and lack in-depth, measurable indicators. Although all companies demonstrate a commitment to sustainability, there are noticeable differences in the depth of disclosure and the selection of non-financial indicators. These results highlight the need for harmonized reporting standards, enhanced internal capacity, and more relevant qualitative metrics. Integrating TBL principles into SAR provides a more accountable and comprehensive reporting framework, supporting both internal strategic decision-making and external transparency to stakeholders. This study contributes to the advancement of more substantial and coordinated sustainability reporting practices in Indonesia’s manufacturing sector.

The Influence of Celebrity Endorser and Brand Image on Purchase Decision of Vans Shoes (Case Study on Vans Shoe Consumers in Depok City)

Hayu Putri Julia Lestari, Suci Ayu Sudari, Yuni Pambreni — Fri, 05 Sep 2025 00:00:00 +0700

This study aims to analyze the influence of celebrity endorsers and brand image on purchasing decisions of Vans shoes, with a case study on Vans shoe consumers in Depok City. The background of this research is based on the intense competition in the Indonesian footwear industry and the fluctuating sales of Vans products, highlighting the need for more effective marketing strategies. This research employs a quantitative approach using a survey method through questionnaires. The sample consists of Vans shoe consumers in Depok City. The results indicate that both the celebrity endorser and brand image variables have a significant partial effect on purchasing decisions. Furthermore, the variables also show a significant simultaneous effect on purchasing decisions. The independent variables collectively explain 41.6% of the variance in the dependent variable. These findings suggest that the presence of public figures can attract consumer attention, and a strong brand image plays a crucial role in influencing purchasing decisions. Therefore, it is recommended that companies place greater emphasis on marketing strategies, particularly concerning celebrity endorsers and brand image.