Factors Influencing Capital Structure in Property and Real Estate Sector Companies Listed on IDX 2021-2023

Abstrak

The goals of the research is to known the effect of profitability, asset structure, and firm size on firms' capital structure in the property and real estate industry that have list on the IDX (Indonesia Stock Exchange) from 2021 until 2023. The research utilizes a quantitative approach, integrating secondary data from corporate financial statements and the IDX website. The sampling strategy is a purposive sampling method, picking 16 companies from a total population of 93.  To analyzing the date with multiple regression analysis using SPSS version 25. The findings demonstrate that profitability and asset composition substantially negatively influence capital structure, implying that firms with more profitability and asset holdings are inclined to utilize less debt financing. Nonetheless, business size doensn’t exhibit a substantial impact on capital structure. Nonetheless, when examined concurrently, profitability, asset structure, and firm size impact capital structure decisions.