Sarcouncil Journal of Economics and Business Management

Abstract: This research aims to analyze the influence of research and development (R&D) costs, total asset turnover (TAT), return on asset (ROA), and debt equity ratio (THE) influence profit growth in pharmaceutical companies listed on the Indonesia Stock Exchange for the 2016 – 2023 period, both partially and simultaneously. This research is quantitative by testing causal relationships and using secondary data with data processing using Eviews 10. The population is 12 companies with the observation year 2016-2023. The total number of observations in the research was 96 samples. The results of this research conclude that partially R&D costs have a positive and significant effect on profit growth; total asset turnover (TAT) has no effect on profit growth; return on asset (ROA) has a positive and significant effect on profit growth; debt to equity asset (DER) has a negative and significant effect on profit growth. Meanwhile, simultaneously R&D costs, total asset turnover (TAT), return on asset (LONG), debt to equity ratio (DER) has a significant effect on profit growth in pharmaceutical companies listed on the IDX in 2016-2023 with a coefficient of determination of 29,67 percent, and 70,33 percent is influenced by other variables outside of this research