Relationship Between Environmental Performance, Firm Size, And Financial Performance (Empirical Study to Manufacturing Companies Listed in IDX year 2006- 2010)

Abstract

This research aims to examine the relationship between environmental performance, firm size, and financial performance of manufacturing companies listed in Indonesia Stock Exchange. The sample of this research consists of 20 companies from 2006 to 2010. Simple linear regression is used to test the relationship between environmental performance and firm size, while multiple linear regressions are used to test the relationship between environmental performance and firm size toward financial performance. Data analysis technique and hypothesis testing are using AMOS 16.0 software. The result showed that there is positive relationship between environmental performance and financial performance, then between environmental performance and firm size. However, there is negative relationship between firm size and financial performance. Keywords: Environmental Performance, PROPER (Program Penilaian Peringkat Kinerja Perusahaan dalam Pengelolaan Lingkungan Hidup), Firm Size, Financial Performance