Abstract

This study aims to predict financial distress of transportation sub-sector companies listed on the Indonesia Stock Exchange (IDX) using the Altman Z "Score Modification method. The data used is the company's financial statements for the 2019-2022 period. The sample for this study used purposive sampling in accordance with the company's criteria. The results of the study using the Altman Z "Score Modification method found that every year there are companies that are predicted to experience financial distress. In 2019 there were 6 companies that were predicted to experience financial distress, namely GIAA, ASSA, BTPR. TRJA, CMPP, and TAXI. In 2020, the 6 companies, namely GIAA, ASSA, BTPR, TRJA, CMPP, and TAXI, experienced financial distress again. In 2021 the number of companies experiencing financial distress is only 5 companies, namely GIAA, ASSA, BTPR, CMPP, and TAXI. However, in 2022 there were again 6 companies experiencing financial distress, namely ASSA, LRNA, BTPR, CMPP, TAXI, and Heli. Of the 9 companies, only 1 company has a healthy financial condition, namely PT Blue Bird Indonesia (BIRD), because for 4 years it has always been in the safe zone with a Z "score value above 2.6.

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.