The Influence of Capital Structure and Company Growth on Company Value with Dividend Policy as a Mediation Variable

This study analyzes the effect of capital structure and firm growth on firm value with dividend policy as a mediating variable in property and real estate companies listed on the Indonesia Stock Exchange for the period 2019-2024. The volatility of the property sector influenced by global and domestic economic conditions encourages the importance of understanding firm value formation mechanisms. The research method uses a quantitative approach with purposive sampling technique resulting in 66 observations from 11 companies during the research period. Data analysis uses Partial Least Squares-Structural Equation Modeling through SmartPLS application to test relationships between variables. The results show that capital structure and firm growth have no direct significant effect on firm value, but have a significant negative effect on dividend policy. Dividend policy has a significant positive effect on firm value and is able to fully mediate the effect of capital structure and firm growth on firm value with Variance Accounted For values of 151.6% and 90.4% respectively. These findings confirm the importance of dividend policy as a credible signaling mechanism regarding the company's ability to generate sustainable cash flows in creating value for shareholders amid the volatility of Indonesia's property sector.