Pengaruh Net Profit Margin, Asset Utilization Ratio dan Firm Size terhadap Financial Performance

Abstract

The purpose of this study is to examine the influence of Net Profit Margin (NPM), Asset Utilization Ratio (AUR), and Firm Size on Financial Performance in textile and garment subsector companies listed on the Indonesia Stock Exchange (IDX). This study employs a quantitative approach with an associative method and purposive sampling technique. A total of 19 companies were selected as samples, resulting in 38 observations. The data used in this research are secondary data obtained through documentation by analyzing the annual reports of textile and garment subsector companies for the years 2022 to 2023. Data analysis was conducted using classical assumption tests, multiple linear regression analysis, the coefficient of determination test, and both partial and simultaneous hypothesis testing. The results indicate that Net Profit Margin, Asset Utilization Ratio, and Firm Size simultaneously influence Financial Performance. Partially, Net Profit Margin and Asset Utilization Ratio have a significant effect on Financial Performance, while Firm Size does not have a significant effect. These findings provide practical guidance for managers and investors to optimize profits and asset utilization in order to enhance the financial performance of companies.