The Effect of Cash Dividends and Revenue Growth on Company Value in PT Indofood Period 2015-2024

Abstract

This study aims to analyze the effect of cash dividends and revenue growth on the company's value in PT Indofood Tbk during the period 2015–2024. The method used is a descriptive quantitative approach with multiple linear regression analysis using SPSS software version 27. The data used is secondary data obtained from the company's annual financial statements. The results of the classical assumption test showed that the regression model met the criteria of normality, did not occur multicollinearity, and was free from heteroscedasticity, making it suitable for further analysis. However, the results of the t-test show that partially, cash dividends have a significant effect on the company's value with a significance value of 0.002 < 0.05. Meanwhile, revenue growth did not have a significant effect on the company's value with a significance value of 0.296 > 0.05. However, the results of the simultaneous F-test showed that cash dividends and revenue growth together had a significant effect on the company's value, with a significance value of 0.007 < 0.05. A determination coefficient value (Adjusted R²) of 0.692 indicates that 69.2% of the variation in the company's value can be explained by these two independent variables, while the remaining 30.8% is influenced by factors other than the model. These findings show that cash dividend policy has a stronger influence on the company's value because it is a positive signal to investors regarding the stability and financial prospects of the company, while revenue growth has not had a significant impact on market perception.