Effect of Profitability and Leverage on Disclosure of Corporate Social Responsibility in Islamic Commercial Banks

Abstract

The purpose of this study is to determine the effect of profitability and leverage on Corporate Social Responsibility. The population in this study are all Sharia Commercial Banks registered in the Financial Services Authority from 2014-2016. The sampling technique used purposive sampling method and obtained 10 research samples. For the dependent variable (y) of this research is Corporate Social Responsibility. For independent variable (x) that is profitability and leverage. The method used is quantitative research method. For data source is secondary data by using data analysis with statistic used SPSS software program assistance Smart SPSS 20. The results of this study indicate that profitability has no significant effect on Corporate Social Responsibility. The study also concluded that Leverage significantly influence Corporate Social Responsibility.

Oil Price and Corporate Social Responsibility Disclosure (CSRD): Evidence from Indonesian Energy Companies

“…This means that the higher the level of leverage, the smaller the chance the company will disclose its social responsibility activities, as the company prioritizes fulfilling its creditors in the form of yearly company reports giving the information needed to ensure that the creditor will get their money back. This result is relevant with research done by Khemir and Baccousche (2015), Gallego-Álvarez and Quina-Custodio (2016), Esa and Anum Mohd Ghazali (2012), Wahyuningsih and Mahdar (2018), Reverte (2009), Belkaoui and Karpik (1989), Endri (2019), Alfiyah (2019), Verwijmeren and Derwall (2010), Sheikh (2019), and Cormier and Magnan (1999). This result, however, does not support the research of Irham et al (2018), which states that leverage does not influence the disclosure of CSR.…”

Analysis of Company Size and Profitability on Islamic Social Responsibility Disclosure

“…Similar studies have shown that profitability and leverage have no significant effect on CSR (Siregar & Bachtiar, 2010). Research on Commercial Banks in Indonesia found that profitability has no significant effect on CSR (Alfiyah, 2019). In addition, other studies have shown that profitability does not have a significant effect on CSR (Syahierah & Larasati, 2019).…”

Pengaruh Kinerja Lingkungan, Leverage, dan Ukuran Perusahaan Terhadap Corporate Social Responsibility (Studi Empiris pada Perusahaan Pertambangan yang Terdaftar di Bursa Efek Indonesia Tahun 2016-2020

“…Hasil penelitian ini sejalan dengan penelitian yang dilakukan oleh(Ruroh & Latifah, 2018), (Galleh & Riharjo, 2020), (Indrayenti & Jenny, 2018), (Fitriyah, 2020) serta (Alfiyah, 2019) yang menyatakan bahwa Leverage berpengaruh terhadap Corporate Social Responsibility.…”