Performance, Macro Economic Factors, and Company Characteristics in Indonesia Consumer Goods Company

: It and internal company conditions strongly influence company performance in the consumer sector. This study examines how macroeconomic and company characteristics affect corporate financial performance in consumer goods companies. This study's population now seems to be goods sector companies listed on the Indonesia Stock Exchange. The results of the systematic sampling technique and data analysis methods using several regression analyses confirmed that macroeconomic factors had no significant effect on company performance. Significant company. The characteristic is the level of corporate debt. The level of debt leverage has a negative and significant impact on company performance, indicating that the higher the company's debt, the reduced the company's performance. The sample size of this study is confined to consumer goods companies, so it cannot be generalized to other business sectors. Abstrak


INTRODUCTION
The income performance of consumer goods issuers was relatively increasing at the start of 2021, coinciding with the timing of the 2021 presidential election, which could increase the trend of public spending. However, the Government's commitment has been assessed to determine the future direction of the consumer goods sector. Cigarettes, pharmaceuticals, food and beverage consumption, and electronic shopping are examples of consumer goods.
As previously stated, One of the Government's policies is to control the black market. Circulation of smartphones and a pledge not to increase cigarette taxes excise. The external motivating factor for this sector is the consistency of the global commodity prices and the rupiah. Because the medical industry relies heavily on imported raw materials, pharmacies are becoming more sensitive in this case. Moreover, rupiah depreciation corresponds to wheat imports in the instant food industry (noodles, biscuits, or bread). P.T. Nippon Indosari Corpindo Tbk (ROTI) increased revenue by 21.03%, P.T. Gudang Garam Tbk (GGRM) by 18.18%, PT Indofood CBP Sukses Makmur Tbk (ICBP) by 13.92%, and PT Mayora Indah Tbk (MYOR) by 7.72%, P.T. H.M. Sampoerna Tbk (HMSP) by According to this data, several issuers are still able to fuel higher turnover this year during the presidential election since participantts did last year during the same period. In the first quarter of 2021, P.T. Erajaya TBK, a mobile phone and credit distributor, fared poorly. This is because the company's performance in 2018 skyrocketed, increasing its share price from the end of last year until early January.
Several analysts reduced their recommendations for ERAA due to the company's poor performance. In line with the analysis, the growing number of illegal smartphones sold in the community drives the company's sales.
Furthermore, the enforcement of sales problems on the black market has finally impacted issuers' performance as exclusive distributors for Xiaomi and Apple products, particularly in dealing with illegal Chinese cell phones.
Two issuers, on the other hand, have turned hostile. However, PT Mayora Indah Tbk (MYOR), which companies producing chocolate and wafer products, and PT Buyung Poetra Sembada Tbk (HOKI), which designs and produces rice, have seen positive growth. Despite increased revenue, Mayora's net profit fell 0.43%. This is due to the increasing financial burden of long-term bank loans and bonds issued by the company that must be paid. The increase in bank debt was caused by an increase in the annual interest rate, which rose in 2018 to 8.85%-9.56% earlier this year. The increase in the company's bonds was due to the maturity side of more than one year, not an increase in the number of bond issuances. This condition eventually increased the company's financial burden from Rp 92.2 billion to Rp 129.74 billion, narrowing the difference in MYOR profit before tax in the first cabins of 2021 and 2018.
The pressure on the rupiah exchange rate has also caused concern among Indonesian consumer companies. The strengthening of the dollar against Asian currencies, including the rupiah, may pressure consumer goods companies' performance. The concern and vulnerability of this condition are dominated by companies that account for 60%-70% of the dollar component. According to Morgan Stanley research, P.T. Mitra Adiperkasa TBK has a high sensitivity of up to 60% of the cost of sales (HPP) in dollars. Meanwhile, P.T. Matahari Department StoreTbk. It is rated to have the lowest level of sensitivity, around 10%, of dollar-related merchandise. According to Morgan Stanley Equity Analyst Divya Gangadhar Kothiyal, measuring the company's ability and price strength in light of the costs of foreign exchange movements is critical. Also read: PT Indofood CBP Sukses Makmur Tbk.. (ICBP) is well positioned to overcome market conditions due to strengthening of the dollar against the rupiah.

RESEARCH METHOD
An ex post facto research design is utilized in this study. According to Kerlinger and Rint (1986), ex post facto investigation seeks to uncover potential partners by observing existing conditions or circumstances.
Popular This study's population consisted of Consumer goods companies that will be listed on the Indonesia Stock Exchange by the end of 2021. Table 1 shows the number of companies listed on the Indonesia Stock Exchange in various consumer goods sectors This study focuses on consumer goods companies. This research uses a non probability sampling technique, i.e., a purposive sampling technique, using which all companies in the consumer goods sector are sampled, and only companies with a positive performance are chosen. Table 2 shows the number of companies sampled based on the results of the purposive sampling sample selection.
This study makes use of secondary data. As sources, the annual financial statements of selected companies for the years 2012 to 2020 were used. The Central Statistics Agency and Bank Indonesia obtained secondary data for economic factors.
Multiple linear regression analysis is used in this study. A multiple linear regression model examines the relationship between the dependent and independent variables (Malhotra & Birks, 2000).

Variable Measurement:
Rohit is the ratio of net income to total assets in the period (t); ROEIT is the net income ratio to total equity in the period (t). dan Pitt: The net income ratio to revenue in a given period (t). Intl: The official one-year loan interest rate; InfRt: The annual change in the Consumer Price Index; GDP: The variable measures economic growth as the annual change in GDP.; Firmsizeit: Measured as the natural logarithm of total assets in the period (t); Leverage: The proportion of debt to equity in the period (t);

RESULT AND DISCUSSION
Multiple regression analysis was used in this study. Several regression analyses, including normality, multicolline-arity, heteroscedasticity, and Durbin Wat-son, are used in the test with the classical assumption test. The outlier data can conclude that the model used is free of linear irregularity (BLUE) problems of the classical assumption test after the data has been corrected. As a result, the regression results can be used to make inferences. The follow-ing are the outcomes of the regression analysis obtained from data analysis using the SPSS 23.0 program:

Variabel dependen: ROA
The results of the multiple regression analysis with the dependent vari-able ROA in Table 3 show that leverage is negative and significant at the 99% confide-nce level. This shows that the higher the debt, the financial performance. Inflation, GDP growth, and company size have no significant impact on the financial performance of variable interest rate loans (ROA).
The results of the multiple regression analysis with the dependent ROE variable in table 4 show that leverage is negative and significant at the 99% confidence level. This demonstrates that the higher the debt, the better the company's financial performance. Variable interest rate loans improve ROE performance at a 10% confidence level. At the same time, inflation, GDP growth, and company size have no significant impact on the company's financial performance (ROE).
Shows the results of multiple regression analysis with the dependent variable NPM, which show that leverage is negative and significant at the 99% confidence level. This clearly shows that the higher the debt, the lower the sales profitability of the company. GDP growth and firm size have no significant impact on the company's financial perfor-mance in variable interest rate mortgages (NPM).
This study investigates the interrelationship among macroeconomic factors, company characteristics, and financial performance. The return, ROE, and NPM have been unchanged by macroeconomic factors. While inflation is significantly negative, GDP growth is positive and thus meaningless. The outcomes of this research contradict the findings of Issah and Antwi (2017) in the United Kingdom, who discovered that real GDP had a significant effect. According to Otambo (2016), GDP has a positive effect on ROA. This study, however, supports Owolabi (2017)'s research in Nigeria, which reported that inflation and interest rates do not affect ROA. Mwangi and Wekesa (2017) conducted research in Kenya that shows that interest rates significantly affect performance, which partially invalidates this study. In Nairobi, Rao (2016) reported that interest rates significantly negatively impact financial performance.
GDP growth and the inflation rate, on either hand, are insignificant. Kenya also reported a negative effect on interest rates and the exchange rate on ROA, with no significant inflation rate, so according to Otambo (2016). In a sample of Nigerian banks, Ogunbiyi and Ihejirika (2014) discovered that interest rates negatively and significantly affected ROA. Furthermore, Osamwonyi and Michael (2014), who use ROE to measure profitability, find a positive effect on GDP and a significant adverse effect on interest rates but no effect on inflation. Finally, the impact of macroeconomic factors on performance may differ by sector. Izedonmi and Abdullahi (2011) support research on how factors affecting a specific sector differ from sector to sector.
Charlie and Mohammadi (2016) discovered, using samples from manufacturing firms, that exchange rates, interest rates, and leverage have a positive and significant effect on Iranian firms, while GDP has a negative and significant effect. The inflation rate is negative but insignificant, and the company's size is meaningless. Mirza and Javed (2013) disco-vered that inflation in Pakistan was significant but negative.
Leverage is significant and beneficial; size is significant and beneficial, and liquidity (current ratio) is significant but detrimental. In particular, Charles (2012) repo-rts a positive relationship between the money supply and the performance of the Nigerian manufacturing index. In contrast, the inflation and exchange rates hurt the manufacturing sector's performance.
Based on the results of this study and previous studies, it can be concluded that each research result has different results; this can be due to differences in the sector of the company being analyzed as well as the characteristics of the company used to measure it.

CONCLUSION
The findings revealed that macroeconomic factors had no significant impact on company performance. The amount of company debt is a significant characteristic of the company. The level of corporate debt has a negative and significant effect on the company's performance, indicating that the higher the company's debt, the lower the company's performance. This study has a limited sample of consumer goods companies, so it cannot be generalized to other business fields. We recommend sampling across multiple industrial sectors in future research to produce more comprehensive results.