PENGARUH GOOD CORPORATE GOVERNANCE TERHADAP KINERJA KEUANGAN PERUSAHAAN (Studi pada Perusahaan Perbankan yang Terdaftar di Bursa Efek Indonesia Tahun 2011-2013)

Abstract

This research discusses the influence between corporate governance mechanisms with company’s financial performance. The measurement method using multiple linier regression analysis to determine the corporate governance gave positive influence on the financial performance of the company or not. The sample used is a company banking that has registered in Indonesian Stock Exchange. The indicators of corporate governance mechanisms in this study is to measure the influence of corporate governance on company financial performance, the mechanisms are : the board of commissioners, board of directors, board of independent commisioners, audit committee with Cash Flow Return on Assets is used to measure the financial performance on the company’s operations.

The sample used in this research were 37 companies that consistently registered in Indonesian Stock Exchange period 2011 to 2013. The data samples taken from the company’s financial statement (annual report) that have been published and Indonesian Stock Exchange Corner in Faculty of Economic and Business, University of Brawijaya. The sampling method used is purposive sampling.

The result of this research indicate that the board of directors has a positive influence on the company’s financial performance. Meanwhile, the board of commissioners, board of independent commissioner, and committee audit has a not positive influence on the company’s financial performance.

Keyword : corporate governance, Cash Flow Return On Assets (CFROA), and corporate financial performance.