This study examines the effect of leverage and board-of-commissioner independency and competency on the financial performance of state-owned enterprises (SOE) in Indonesia during 2013-2017. Hypothesis testing uses a panel regression model on 173 firm-years of SOEs both listed and unlisted on the Indonesia Stock Exchange. The results found that levels of debt negatively affected financial performance. Thus, in terms of the financial aspect, increases in costs resulting from increases in debt are greater than increases in benefits. Additionally, the independence of the board of commissioners has a positive effect on financial performance, whereas their competence has no significant effect. Furthermore, the independence and competence of the board does not moderate the effect of the level of debt on SOE financial performance. © 2020 by Nova Science Publishers, Inc.