The Influence of Profitability and Firm Size on the Firm Value of Independent Commissioners as a Moderating Variable

Abstract

Purpose: To analyze the effect of profitability and firm size on firm value, and to examine the moderating role of independent commissioners in transportation and logistics companies listed on the Indonesia Stock Exchange during the 2021–2025 period.

Methodology: This study employs a quantitative approach using secondary data obtained from annual reports and financial statements. The sample was selected through purposive sampling, resulting in 149 observations. Data were analyzed using panel data regression and Moderated Regression Analysis (MRA) with EViews 12.

Findings: The results indicate that profitability has a positive and significant effect on firm value, while firm size has a negative and significant effect on firm value. Furthermore, independent commissioners are not able to moderate the relationship between profitability and firm value, nor the relationship between firm size and firm value.

Practical implications: The findings suggest that companies should focus on improving profitability and managing assets efficiently to enhance firm value. In addition, companies need to optimize the effectiveness of independent commissioners in corporate governance practices to strengthen investor confidence.

Value: This study contributes to the literature by examining the moderating role of independent commissioners in the relationship between profitability, firm size, and firm value specifically in the transportation and logistics sector in Indonesia during the 2021–2025 period, a context that has received limited empirical attention.