THE IMPACT OF GREEN ACCOUNTING, CAPITAL STRUCTURE, LIQUIDITY, GOOD CORPORATE GOVERNANCE AND GDP ON PROFITABILITY IN ENERGY SECTOR COMPANIES IN 2012-2022

Abstract

This research intends to explore the influence of green accounting, capital structure, liquidity, corporate governance, and GDP on the profitability of energy firms. The research methodology utilized for this examination consists of panel data regression analysis, utilizing a sample of 27 energy companies listed on the IDX over an 11-year period. The outcomes of this study indicate that green accounting (PROPER) and capital structure (DAR) negatively impact profitability, whereas institutional ownership, and GDP demonstrate a noteworthy influence on energy companies profitability. Furthermore, liquidity (CR) and the presence of board of directors and independent commissioners does not affect profitability. These results underscore the significance of a holistic approach in balancing environmental sustainability and financial performance. These conclusions can be utilized as a foundation for developing strategies that enhance the financial performance and sustainability of energy sector companies.