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Unraveling Firm Value Dynamics: The Moderating Role of Media Exposure in ESG, Leverage, and Capital Structure

  • Mario Zulfa Nasution1*
  • Yudhistira Adwimurti2
  • Hani Fitria Rahmani3
1,1 KAP Jojo Sunarjo & Partner
2,2 Universitas Prof Dr Moestopo image/svg+xml
3 IPB University image/svg+xml
* Corresponding Author: Mario Zulfa Nasution

Abstract

This study aims to analyze the effect of capital structure, leverage, and Environmental, Social, and Governance (ESG) on firm value, as well as the moderating role of media exposure in cyclical and non-cyclical companies listed on the Indonesia Stock Exchange in 2023. Using a quantitative research design with a cross-sectional approach, this study took a sample of 150 companies through a purposive sampling method. Data analysis was carried out using multiple linear regression with moderating variables. The results of the study indicate that capital structure and ESG have a significant positive effect on firm value, while leverage has a significant negative effect. Media exposure is proven to significantly moderate the relationship between all independent variables and firm value. These findings emphasize the importance of optimizing capital structure, prudent leverage management, and implementing good ESG practices in increasing firm value. The moderating role of media exposure highlights the importance of a company's communication strategy in shaping public and investor perceptions. The implications of this study provide valuable insights for company managers in making strategic decisions and for investors in evaluating investment prospects in the Indonesian capital market.

Keywords

Corporate Value Capital Structure Leverage ESG Media Exposure Indonesia Stock Exchange

How to Cite

Citation Format
Nasution, M. Z., Adwimurti, Y., & Rahmani, H. F. (2025). Unraveling Firm Value Dynamics: The Moderating Role of Media Exposure in ESG, Leverage, and Capital Structure. Jurnal EMT KITA, 9(1), 207-212. https://doi.org/10.35870/emt.v9i1.3383

References

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Author Biographies

Mario Zulfa Nasution, KAP Jojo Sunarjo & Partner, KAP Jojo Sunarjo & Partner

KAP Jojo Sunarjo & Partner, South Jakarta City, Special Capital Region of Jakarta, Indonesia.

Yudhistira Adwimurti, Universitas Prof Dr Moestopo, Universitas Prof Dr Moestopo

Economy Faculty, Universitas Prof. Dr. Moestopo (Beragama), Central Jakarta City, Special Capital Region of Jakarta, Indonesia.

Hani Fitria Rahmani, IPB University

Vocational School, IPB University, Bogor Regency, West Java Province, Indonesia.

License

This is an open-access journal distributed under the Creative Commons Attribution 4.0 International License (CC BY 4.0), which permits unrestricted use, distribution, reproduction, and adaptation in any medium (even commercially), provided appropriate credit is given to the original author(s), a link to the license is provided, and any changes made are indicated. Authors retain copyright without restrictions and grant the journal the right of first publication as well as non-exclusive publishing rights for archiving, indexing, and scholarly dissemination.

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