Abstract
Financial distress is a stage where the company's financial condition has decreased significantly. The occurrence of financial distress starts from a decrease in the company's financial condition starting from the company's inability to meet short- term obligations, including liquidity obligations and obligations in the leverage category before bankruptcy. Financial distress can be calculated with various calculation models, one of which is the Zmijewski model. The purpose of this study is to give empirical data on the effect of profitability, liquidity, and leverage on financial distress with firm size as a moderating variable in construction sector companies on the Indonesian stock exchange for the 2019-2022 period. The sample obtained was 14 companies with a total of 56 company financial report data. The sampling technique used purposive sampling technique. The analysis method in this study uses moderation regression analysis using the SPSS tool. The study's conclusions state that the profitability ratio does not contribute to financial distress, liquidity can contribute to financial distress, leverage can contribute to financial distress, firm size moderates the leverage relationship to financial distress, firm size does not moderate the profitability relationship to financial distress, firm size is unable to moderate the liquidity relationship to financial distress.
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