Factors Affecting Profit Quality in Post Pandemic Era

Abstract

Coronavirus events that attacked the whole world, especially in Indonesia, has a huge impact on economic and business life. Large companies with good reputation and great profit in the community are favourite places to invest because investors have a certain degree of confidence to get the profits. However, during the Covid-19 outbreak, this made the situation uncertain due to the fall of the global economy. Guarantees about companies being honest about results no longer refer to company size or reported profits. Therefore, the authors describe the problems related to the factors that affect each company’s earnings quality. This study aims to analyze how the quality of profits are influenced from the implementation of corporate governance and dividend payment. The method applied in this study uses an analysis of social research documentation with the aim of finding a suitable theory and reviewing empirical results on the factors that affect the quality of earnings after the pandemic. The results from various empirical results showed that there is still little research on the ability of factors affecting profit quality in post pandemic area to conduct research on companies from industries that are validated on the Indonesian stock exchange. The results of the study can be expected to contribute to further research and facilitate the government to approach the development of banking industry sector to encourage the economy.This study is important to determine as a result of the implementation of corporate governance related to the effects of mitigation in the pandemic era. In addition, this study is expected to provide further guidelines, especially for national private companies and improve the quality of earnings post Covid-19 pandemic.
 Keywords: profit quality, good corporate governance, dividend payment, banking industry sector, post Covid-19 pandemic