ANALISIS TINGKAT FINANCIAL DISTRESS DENGAN MODIFIKASI ALTMAN Z-SCORE UNTUK EARLY WARNING SYSTEM

Abstract

This research is aimed to find out the financial distress based on the results of analysis which has been done by using Z-Score on banking companies which are listed in Indonesia Stock Exchange.The research is a descriptive quantitative. The population is all banking companies which are listed in Indonesia Stock Exchange for a 4-year period from 2012 to 2015. The selection of samples has been done by using purposive sampling and the numbers of samples are 4 banking companies. The quantitative descriptive method is used as the data analysis technique which has been done by collecting, processing and interpreting data which has been obtained theoretically.Based on the result of research and the discussion which has been done by using the Altman Z-Score method, it has been foundthat the financial condition of each bank i.e. Bank MNC International, Tbk during the year of 2012-2015 has an average value of Z-score of -0.354; Bank Mutiara, Tbk during the year of 2012-2015 has an average value of Z-score of -0.222; Bank Pundi Indonesia, Tbk during the year of 2012-2015 has an average value of Z-score of 0.123 and Bank QNB Kesawan, Tbk during the year of 2012-2015 has an average value of Z-score of 0.248, it can be interpreted that this condition can lead the company to bankruptcy if its financial management is not managed properly and banking companies are less able to manage their assets to generate revenue
Keywords:Financial statement, Z-score, financial distress