• Lorraine Analia Aglen FEB – Universitas Katolik Indonesia Atma Jaya
  • Yunia Panjaitan Universitas Katolik Indonesia Atma Jaya



financial leverage, asset growth, business risk, firm’s profitability


This study aims to examine the effect of financial leverage, growth, and business risk on firm’s profitability. Using 18 companies listed on LQ45 index during 2013 – 2017. The research used a panel data regression analysis method with Fixed Effect Model (FEM) as the estimator model. The findings suggest that financial leverage has a negative effect on firm’s profitability, asset growth has a positive effect on firm’s profitability, and business risk does not affect firm’s profitability.


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