ANALYSIS OF FINANCIAL DISTRESS WITH AN USING ALTMAN Z-SCORE METHODS ON BAKRIE GROUP COMPANIES LISTED IN BEI YEAR 2012 - 2017

  • Resta Gadis Fadillah Nahdlatul Ulama University of Surabaya
  • Mohamad Yusak Anshori Nahdlatul Ulama University of Surabaya
  • Niken Savitri Primasari Nahdlatul Ulama University of Surabaya
Keywords: Altman Z-Score, financial distress, bankruptcy, Bakrie Group

Abstract

The purpose of this study was to analyze financial distress conditions in Bakrie Group companies listed on the Stock Exchange in the 2012 to 2017 period. The data used in this study is secondary data, taken from the company's financial statements on the IDX in 2012-2017. The sample consists of 5 companies from 2012 to 2017 and is still registered to date. The method used is the original Altman Z-Score model for manufacturing public companies. The ratio used is working capital (working capital to total assets (total assets), retained earnings (retained earnings) to total assets, earnings before interest and taxes (EBIT) to total assets, the market value of the capital of the debt value (market value of total liabilities) , and sales to total assets ( sales to total assets ) .The results of the study show that the five companies are in a distress zone where the factors are significant because the average profitability and low liquidity of the company cannot be economically and efficiently run his business.

Published
2019-03-10