Analysis of the Effect of Capital Structure on Company Profitability

The purpose of this research is to analyze and find empirical evidence regarding the effect of capital structure on profitability. The population in this study are Fast Moving Consumer Goods companies listed on the Indonesia Stock Exchange in 2018-2020. By using purposive sampling as the sampling method, a total sample of 105 Fast Moving Consumer Goods companies registered on the IDX was obtained in 2018- 2020. Data processing uses multiple linear regression analysis with the help of the SPSS program. Based on these tests, it was found that the Long-term Debt to Assets and Debt to Equity Ratio have an effect on profitability, while the Short-term Debt to Assets and Total Debt to Assets have no effect on profitability.