PENGARUH KINERJA KEUANGAN DAN UKURAN PERUSAHAAN TERHADAP FINANCIAL DISTRESS

Abstract

This research is in the manufacturing sector which is listed on the Indonesia Stock Exchange (IDX) for the period
2014-2018, which aims to predict companies that experience financial distress by using several variables, namely
profitability, liquidity, leverage, company size and financial distress. Based on the purposive sampling method,
there were 15 companies that met the criteria, which were 75 samples. The secondary data type was obtained from
the Indonesia Stock Exchange (IDX) website page, www.idx.co.id. This study uses logistic regression analysis
with the SPSS (Statistical Package Social Sciences) version 21 data processing application program. The results
of this study indicate that the profitability variable has a significant negative effect on financial distress, meaning
that companies lack the ability to utilize equity to earn profits. The liquidity variable does not have a significant
negative effect, meaning that the more the value of liquidity increases, the company will be further away from the
threat of financial distress. The leverage variable has a significant positive effect, meaning that a high leverage
value cannot yet determine that the company is experiencing financial distress. Firm size variable does not have a
significant negative effect, meaning that the larger the company, the less likely the company will experience
financial distress.
Keywords : profitability, liquidity, leverage, firm size, financial distress