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Abstract
The telecommunications industry is a capital-intensive sector that requires continuous investment in digital infrastructure. Although sales and asset expansion have increased, this has not always been accompanied by an increase in firm value. This study analyzes the effects of capital structure, sales growth, and firm growth on firm value, taking profitability into account as an intervening variable, among telecommunications companies listed on the Indonesia Stock Exchange during the 2018–2023 period. This study employs a quantitative method using secondary data sources, followed by multiple linear regression analysis and the Sobel test to examine the mediating relationship using SPSS software. The results indicate that capital structure, sales growth, firm growth, and profitability do not have a significant effect on firm value. Capital structure exhibits a significant negative effect on firm profitability, while sales growth has a significant positive effect on profitability. Conversely, firm growth has not been shown to have a significant impact on firm profitability, and profitability has not been shown to mediate the effects of independent variables on firm value. The results of this analysis confirm that an increase in firm value is determined more by the ability to convert resources into performance that is valued by the market, rather than solely by financing policies or asset growth.

Keywords: Profitability, Capital Structure, Sales, Company Growth, Firm Value