PENGARUH PROFITABILITAS, LIKUIDITAS DAN LEVERAGE TERHADAP FINANCIAL DISTRESS

Abstract

This research aimed to examine the effect of profitability, liqudity and laverage on financial distress.While, the population was Food and Beverages companies which were listed on Indonesia Stock Exchange (IDX) 2015-2018. The research was correlational-quantitative. Moreover, the data were secondary which taken from database of Gallery of Investment of Indonesia Stock Exchange. Additionally, the data collection technique used purposive sampling. In line with, there were 10 companies within 4 years observation. So, the total data were 40. In addition, the data analysis technique used logistic regression with SPSS 23. The research result concluded profitability which was measured by Return On Asset had negative and significant effect on financial distress.On the other hand, liquidity which was measured by current ratio had negative and insignificant effect on financial distress. In contrast, leverage which was measured by debt to asset ratio had positive and significant effect on financial distress. Profitability, liquidity and leverage had collectively affected financial distress.
Keywords : profitability, liquidity, leverage, financial distress