The Impact Of Profitability, Liquidity, And Leverage On Profit Growth In Automotive And Component Companies Listed On The Indonesia Stock Exchange

Abstract

This study aims to examine and analyze the influence of profitability, liquidity, and leverage on profit growth in automotive and component companies listed on the Indonesia Stock Exchange. The study covers the 2020–2025 period and includes 12 companies. This is a causal-associative study. The population consists of automotive and component companies listed on the Indonesia Stock Exchange; a census sampling method was employed, resulting in a total sample size of 72 data points. Data analysis methods include multiple linear regression, classical assumption testing, and hypothesis testing. The results indicate that profitability and liquidity have a significant partial effect on profit growth, whereas leverage does not have a significant effect on profit growth in automotive and component companies listed on the Indonesia Stock Exchange during the 2020–2025 period. Profitability, liquidity, and leverage collectively (simultaneously) have a significant effect on profit growth in automotive and component companies listed on the Indonesia Stock Exchange during the 2020–2025 period.