Debt Assets Research Articles

FACTORS AFFECTING THE FINANCIAL PERFOMANCE OF AGRICULTURAL COMPANY’S: EVIDENCE FROM THE INDONESIA STOCK EXCHANGE

The Indonesian economy is primarily based on the agriculture sector, even growing when other sectors are down. This role is supported by the existence of agricultural companies that run businesses with profit-oriented goals. The company's ability to generate profits reflects the company's financial performance and is influenced by various factors. Using panel data for the years 2015–2021 from 17 agricultural companies listed on the Indonesia Stock Exchange (IDX), this study aims to determine the influence of internal and external factors on the financial performance of agricultural companies in Indonesia. The results of static panel data regression found that the company's growth and the dummy of the Covid-19 pandemic had a positive and significant effect on the company's financial performance which was proxied through the profitability ratio (ROA). Debt asset ratio (DAR), COGS/sales, and exchange rate have a negative and significant effect on ROA. In general, these results confirm the pecking-order theory in the relationship between ROA and DAR, as well as the ability of agricultural companies in Indonesia to survive in the conditions of the Covid-19 pandemic. The implication for improving the performance of agricultural companies in Indonesia is that companies must be able to reduce the percentage of production costs (COGS/sales) and implement an optimal capital structure mix. Companies are also required to carry out good risk management to anticipate exchange rate fluctuations.

The Influence of Current Ratio and Debt To Asset Ratio on Financial Performance at PT Unilever Indonesia Tbk (Case Study on the Indonesian Stock Exchange for the 2015-2022 Period)

This research was carried out to determine the influence of Current Ratio and Debt Asset Ratio on Financial Performance. The object of the research was carried out at PT Unilever Indonesia Tbk, with types of secondary data taken from the financial reports for 8 years from 2015-2022 which were divided into 3 parts. month. The type of research used is quantitative research with associative descriptive methods, with data collection techniques, namely using documentation techniques. The population in this research is the financial report for the year 2015-2022. The sampling technique in this research uses non-probability sampling. Meanwhile, the data analysis used is the classical assumption test which includes data normalization test, multicollinearity test, heteroscedasticity test and autocorrelation test, correlation test, coefficient of determination test and multiple linear regression, partial and simultaneous hypothesis testing. Based on the results of this research, it shows that the Current Ratio is partial. has a negative and significant effect on Financial Performance. Next, the Debt to Asset Ratio variable has no partial effect on the Financial Performance variable. Current Ratio and Debt to Asset Ratio have a simultaneous influence on the Financial Performance of PT Unilever Indonesia Tbk for the 2015-2022 period

SOME FACTORS AFFECTING FINANCIAL DISTRESS IN TELECOMMUNICATION COMPANIES IN SOUTHEAST ASIA

People who have lost their jobs are affected by the Covid-19 epidemic, which lowers demand and prevents them from updating daily used internet services. A company’s deteriorating financial health may be a warning indication of impending financial trouble. With company size serving as a moderating variable, the purpose of this study is to ascertain the impact of earnings management, corporate strategy, the board of directors, and debt asset ratio on financial distress. Ten telecoms businesses in Southeast Asia were the result of the purposive sampling technique from 2013 to 2022. Both logistic regression and moderated regression analysis are used in this study. These findings show how financial hardship simultaneously affects management of earnings, corporate strategy, the board of directors, and the debt asset ratio. However, financial distress is partially impacted negatively by the factors debt asset ratio, board of directors, and earnings management. The business strategy variable is now untouched by financial difficulties. Financial distress is not significantly impacted by company size, which moderating the debt asset ratio from the regression analysis.

Asset bubbles and wealth inequality

AbstractWe examine the causal link between asset bubbles and wealth inequality in a two‐agent macroeconomic model. Bubbles influence wealth inequality through two channels: altering the debt–asset ratio and fuelling speculation. When bubbles grow, they can temporarily decrease wealth inequality if asset prices rise faster than debt. However, when they burst, wealth inequality increases as the debt–asset ratio rises. Steady‐state wealth inequality is unaffected by bubbles if household types share symmetric speculative timing. Although macroprudential policy, communication, and leaning against the wind can reduce negative bubble effects on aggregate utility, they have a limited effect on wealth inequality.

The impact of the effective tax rate change on financial assets of commercial banks: The case of Visegrad group countries

While many tax professionals have discussed corporate taxation in the banking sector and its effectiveness on bank institutions, investment decisions, bank size, asset structure, or bank rentability, there is little evidence of tax efficiency within V-4 Group. The research on banks and tax rates is mainly based on American data. Few papers solved banking stability and corporate taxes within the European countries. This paper examines effective corporate taxation in the banking sector of the V-4 Group and aims to find out how the effective tax rate change affects commercial banks’ financial assets. In this study, we examine the relationship between variables using regression analysis in which we assess the impact of ETR on bank financial assets. We examined data in the consolidated financial statements data of commercial banks and tested their impact on the economy. Our findings supported the theory that ETR impacts the banking sector, particularly capital and equity financing. However, the results did not prove the research hypothesis, in which we assumed that an increase in ETR would lead to an increase in financial assets. Based on our results, it leads to an increase in equity assets (7.34%) and a decline in debt assets (16.83%).

A Survey of Private Debt Funds

Abstract Despite its large and increasing size in the United States and Europe, the private debt (PD) market, compared to the bank and syndicated loan markets, has been researched little. In this paper, we survey U.S. and European investors with private debt assets under management (AuM) of over $390 billion. These investors are primarily direct lending funds. We ask the general partners (GPs) how they source, select, and evaluate deals; how they think of private debt relative to bank and syndicated loan financing; how they monitor their investments; how they interact with private equity (PE) sponsors; and how they view the future of the market. Respondents provide primarily cash-flow-based loans and believe that they finance companies and leverage levels that banks would not fund. Direct lending funds target unlevered returns that appear high relative to their risk. They use leverage in their funds, but appreciably less than banks and collateralized loan obligation funds (CLOs). They use and negotiate for both financial and negative covenants to monitor their investments. The presence of PE sponsors helps them lend more and craft more effective covenants. U.S. and European funds are similar along many dimensions, but European funds rely less on PE sponsors and compete more with banks. Overall, the private debt market is both different from and shares characteristics with bank loan and syndicated loan markets. (JEL G23, G30, G32)

Credit Scoring Modelling For Corporate Banking Institutions

This research aims to build a credit scoring modeling simulation of bank corporate loans. The credit scoring model is used in assessing creditworthiness in credit decisions. This model determines whether or not a company is eligible for the corporate credit facility it proposes. Observations were made of 100 companies included in the list of Kompas100 Index formers on the Indonesia Stock Exchange (IDX) that have the potential to apply for loans/credits to Bank Financial Institutions (IKB) in optimizing the corporate capital structure through bank debt facilities in the period 2022. Analysis was conducted on five financial aspects consisting of 14 research variables, including (i) liquidity aspects, including current ratio and quick ratio variables; (ii) solvency aspects, including debt asset ratio and equity ratio variables; (iii) profitability aspects including return on net assets, operating profit ratio, price to earnings ratio variables, (iv) activity aspects including total asset turnover, accounts receivable turnover, inventory turnover, current assets turnover, and (v) growth aspects including operating income growth rate, total assets growth rate, and operating profit growth rate variables. The analysis tool uses Logistic Regression through an assessment conducted on the company's credit rating as a proxy for the dependent variable, worth one if the credit application is feasible and worth 0 if the credit application is not feasible with a cut-off point of 0.5. The results show that credit scoring modeling for corporate credit is significantly formed from liquidity (CR) and solvency (DER) aspects. Out of 61 companies classified as not eligible for credit facilities, 58 companies were classified correctly, and out of 39 companies classified as eligible, 29 companies were classified correctly. The overall percentage shows 68.0, meaning that the logistic regression model has an accuracy of 68%.

PENGARUH LEVERAGE & SALES GROWTH TERHADAP FINANCIAL DISTRESS DENGAN PROFITABILITAS SEBAGAI VARIABEL MODERASI

The research was conducted to find out how leverage and sales growth play a role in financial distress, in the manufacturing industry listed on the IDX during the 2015-2019 period. The sample was obtained using certain criteria by purposive sampling using statistical software assistance in the form of SPSS version 21 with logistic regression analysis. Research proves that Debt asset to ratio (DAR) is able to have a significant effect on financial distress, Sales growth (SG) does not have a significant effect on financial distress. The moderating variable used is profitability, profitability proxied by return on assets (ROA) is able to significantly weaken the effect of leverage on the interest coverage ratio (ICR) and profitability is able to significantly weaken the relationship between sales growth and interest coverage ratio (ICR). The implications of this research are the need to increase the effectiveness of the company's management role in taking actions that can affect financial conditions in preventing financial difficulties.

ANALISIS KINERJA KEUANGAN PADA PERUSAHAAN PROPERTI DAN REAL ESTATE PERIODE 2017-2021

The purpose of this study is to determine the financial performance of PT. Plaza Indonesia Realty Tbk, PT. Roda Vivatex Tbk, and PT Urban Jakarta Propertindo Tbk from 2017 to 2021 using liquidity, solvency, activity and profitability ratios. This study uses secondary data obtained from the company's annual financial reports at IDN financials and on the company's website itself. This study uses a quantitative descriptive method. The results of this study indicate that the company's liquidity when viewed from the current ratio and quick ratio is running quite well, but the cash ratio is not running well, which means the company is less current in its short-term obligations. Then in terms of company solvency, seen from the Debt Asset to Ratio, all companies are in a fairly good category and the Debt to Equity Ratio is only PT Plaza Indonesia Realty Tbk, which is not good, this shows that the company is increasingly finding it difficult to pay long-term obligations. Then, in the company's activities, it can be seen from the inventory turnover of PT Urban Jakarta Propertindo, which is not going well and the asset turnover ratio of the three companies is also not doing well, which means that the company gets less income per dollar of assets. While seen from the profitability using the net profit margin ratio only PT. Urban Jakarta Propertindo Tbk which is above the industry standard so that it shows the company is running quite well in terms of net profit after tax so that the company is able to reduce its operational costs in certain periods while the Return on Assets and Return on Equity ratios of the three companies are below standard industry so that it shows the size of a company is not good for the profitability of the company itself which shows the effectiveness of management in using assets to earn income every year.

The Role of Debt to Ratio and Profitability in Economic Growth and Company Development

This study analyses the relationship and influence of Debt Asset Ratio (DAR) on company profitability. The data used in this study were obtained from the financial reports of companies listed on the Indonesia Stock Exchange during 2018-2022. The analytical method used is simple linear regression using statistical software. The steps are planning, collecting, analyzing, and interpreting data to answer research questions. DAR and profitability as variables in this study, population, and samples from 6 companies for five years. The influence of Debt to Asset Ratio applied to Company Profitability was analyzed using the linear regression statistical method. Debt to Asset Ratio is the independent variable, and Company Profitability is the dependent variable. The results of the correlation analysis found a linear relationship between the variables. The results of the regression analysis found that there was a shallow level of influence. This study has several limitations on the number of samples, variables, and industrial sectors studied. In addition, other factors also need to be considered-some recommendations for further research. They expanded the study sector, examining other factors such as accounts receivable turnover and company size.

The Impact of Procuring Per Offer, Turnover of Absolute Resource, Return on Value and Debt Asset Ratio on Offer Value of Maufactur Area Recorded on the Indonesia Stock Trade Period 2019 - 2022

The value of the money is going to decrease because of inflation, so we have to invest in an investment asset. The investment tool explored in this research is c-stock which uses financial ratios to determine whether financial ratios are correlated with stock prices in order to identify capital intensive companies. This research uses ratios such as EPS TATO ROE and asset or debt ratio to provide profitability. This study has been carried out in the case of manufacturing companies listed on IDX, using Eviews version 10 as a data processing tool. The primary sampling method was applied in this study, as it is the standard of sampling. From 2019 to 2022 the samples were six companies with research data and therefore 32 observation reports have been collected. Because of the review, it is known that (1) Profit per share emphatically affects stock costs. The meaning of 00154 demonstrates this so H1 is acknowledged. ( 2) The complete resource turnover rate essentially affects the stock cost as confirmed by the meaning of 01040 so H2 is dismissed. ( 3) Return on value emphatically affects stock cost ( ) which is demonstrated at the importance level 00390 so H3 is acknowledged. ( 4) The obligation to resource rate affects share costs, this is validated by a critical worth of0.0719 so H4 is dismissed;( 5) accomplished contemporaneous Experimental outcomes calculation results F of3.103040 with probability0.031819 can be closed in the event that all factors have a huge impact contemporaneously on costs of stock. The aftereffects of the retrogression examination show the adjusted worth( r2) of0.213441, implies that varieties in Profit per Offer, Advancement of All out Resource, Return on Value, and Obligation to implies rate can make sense of the21.34 of changes in stock value, the remaining78.66 is made sense of not analyzed by different factors in this review.

Infrastructure debt funds and the assetization of public infrastructures

Infrastructure has grown rapidly as an alternative asset class, yet many of the complex processes that transform public infrastructures into lucrative financial assets are poorly understood. This article examines investments by an infrastructure debt fund, to show how financial innovations expand and diversify the infrastructure asset class by finding new ways to generate financial returns from infrastructures. Infrastructure debt is an emerging sector of the infrastructure asset class, where private debt funds create assets that generate returns by extending loans or bond financing to physical infrastructures. The analysis uses assetization as a conceptual framework to scrutinise the construction of financial assets, centring the role of rent generation and extraction to show how infrastructure debt funds create financial value. By bringing the performative work of asset construction into dialogue with the political-economic forces enabling rent extraction, the analysis augments existing literature on financialized infrastructures. The findings show how infrastructure debt assets are predicated on multiple rounds of assetization: initially, the essential nature of infrastructure services is exploited to generate and extract monopoly rents as long-term revenue streams, and in turn, debt funds extend claims on these revenue streams to extract rents through interest payments. In this way, infrastructure debt extends the infrastructure asset class and provides a new route to extract rents, raising concerns over the potential of these investment practices to contribute to inclusive regional development and just transitions to mitigate and adapt to climate change.

PENGARUH LEVERAGE & SALES GROWTH TERHADAP FINANCIAL DISTRESS DENGAN PROFITABILITAS SEBAGAI VARIABEL MODERASI

The research was conducted to find out how leverage and sales growth play a role in financial distress, in the manufacturing industry listed on the IDX during the 2015-2019 period. The sample was obtained using certain criteria by purposive sampling using statistical software assistance in the form of SPSS version 21 with logistic regression analysis. Research proves that Debt asset to ratio (DAR) is able to have a significant effect on financial distress, Sales growth (SG) does not have a significant effect on financial distress. The moderating variable used is profitability, profitability proxied by return on assets (ROA) is able to significantly weaken the effect of leverage on the interest coverage ratio (ICR) and profitability is able to significantly weaken the relationship between sales growth and interest coverage ratio (ICR). The implications of this research are the need to increase the effectiveness of the company's management role in taking actions that can affect financial conditions in preventing financial difficulties.

ANALISIS PERBANDINGAN KINERJA KEUANGAN PERUSAHAAN SEBELUM DAN SESUDAH INITIAL PUBLIC OFFERING (IPO)

Initial Public Offering (IPO) can make changes for public companies and get additional capital. Investors can assess the company's financial performance by using financial ratios before and after the initial public offering consisting of Current Ratio, Debt Equity Ratio, Debt Asset Ratio, Total Asset Turn Over, Net Profit Margin, Return On Assets, Return On Equity. Assessment of company financial performance using financial reports using the purposive sampling method for energy sector issuers conducting initial public offerings in 2018-2019, data analysis techniques use descriptive test, Shapiro Wilk normality test, paired sample t-test and wilcoxon signed rank test. The results show that there are differences in financial performance after the IPO on the Debt Asset Ratio, Total Asset Turn Over, and Return On Equity. The result show there was no significant difference in financial performance after the IPO on the Current Ratio, Debt Equity Ratio, Net Profit Margin, and Return On Asset.

Peran Tax Avoidance sebagai Moderasi: Profitabilitas, Intensitas Modal, Ukuran Perusahaan, Solvabilitas

This study investigates the moderating role of Tax Avoidance in relation to profitability, solvency, capital intensity, and firm size. Data was processed using the statistical software SPSS. The results of the analysis indicate that the correlation between Return on Assets (ROA) and Debt Asset Ratio (DAR) exhibits a significant negative association. Firm size demonstrates a significant positive correlation with DAR, while capital intensity also shows a significant positive relationship with DAR. However, the interaction between ROA and Tax Avoidance does not exhibit statistical significance in its relationship with DAR. These findings illustrate that Tax Avoidance does not act as a moderator in the relationship between ROA and DAR. The outcomes of this study offer insights into how these elements can shape a company's financial structure and underscore the importance of considering the interactions among these variables in financial decision-making.

Pengaruh Profitabilitas, Ukuran Perusahaan, Tingkat Utang dan Kualitas Audit Terhadap Agresivitas Pajak

This study aims to examine the effect of profitability, firm size, debt levels and audit quality on tax aggressiveness. This study used a purposive sampling method to collect secondary data samples from the annual reports of 18 food and beverage sub-sector companies listed on the Indonesia Stock Exchange (IDX) with a research period of 2020-2022. The analytical method used is multiple linear regression using the SPSS version 25 program. Tax aggressiveness is measured using the Effective Tax Rate (ETR), profitability is measured using Return On Assets (ROA), company size is measured by firm size, debt levels are measured using Debt Assets Ratio (DAR) and audit quality are measured using a dummy variable. The results of this study indicate that profitability and debt levels have a positive effect on tax aggressiveness, while firm size and audit quality have no effect on tax aggressiveness. The implications of this study ensure that the profits obtained by the company are not the result of tax aggressiveness.

Adjustment Speed of the Capital Structure in the Telecommunication Industry in Indonesia Year 2013-2018

In 2013, telecommunications companies in Indonesia relied significantly on debt loans as a source of funding, with an average capital structure of -11.51%. The highest increase was observed in 2015, reaching an impressive 99.20%. Given this fluctuation, it becomes imperative to conduct research focusing on the adjustment speed of the capital structure in telecommunications companies during the period from 2013 to 2018. The research findings indicate varying rates of adjustment in capital structure, particularly in terms of Debt Equity Ratio (DER). The fastest adjustment was seen in XL Axiata at -19.14% and Indosat at -1.62%, while Telkom Indonesia exhibited a slower adjustment rate at 36.72%, and Smartfren Telecom had the slowest adjustment at 51.96%. Similarly, when considering the Debt Asset Ratio (DAR), XL Axiata displayed the swiftest adjustment at -17.63%, followed by Telkom Indonesia at -9.05%, and Indosat at -3.11%. In contrast, Smartfren Telecom had the most gradual adjustment, with a notable value of 71.70%. These findings underscore the dynamic nature of capital structure in the Indonesian telecommunications sector during the specified period. The varying speeds of adjustment in debt ratios reflect the strategic financial decisions made by these companies in response to market conditions and internal factors. Further analysis is essential to comprehend the factors influencing these diverse adjustment rates and their implications for the industry's financial stability.

The Effect of Debt To Asset Ratio, Debt To Equity Ratio To Nett Profit Margin (Case Study of PT Waskita Karya (Persero) Tbk In 2018-2022)

The purpose of this study is to see and determine the effect between debt asset ratio and debt equity ratio on net profit margin both partially and simultaneously. This research is a quantitative research with secondary data obtained from the Indonesia Stock Exchange, in the period 2018-2022. Sample selection, the method used is purposive sampling, Data collection techniques used in this study are secondary data, data analysis techniques using the SPSS Version 24 statistical program. The test results are partially obtained, namely: The variable Debt to Asset Ratio (X1) does not have a partially significant effect on Net profit Margin (Y) because the significance level value is greater than 0.005. The variable Debt to Equity Ratio (X2) has a significant effect partially because the significant value is smaller than 0.005, the test results simultaneously obtained the result of the significance value of 0.034 which is smaller than 0.005, it can be concluded that both variables Debt to Asset Ratio (X1) and Variable Debt to Equity Ratio (X2) have a positive and significant influence on the dependent variable, namely Nett profit Margin (Y)

Oil Shocks, External Adjustment, and Country Portfolio

AbstractThis study examines the intertemporal nature of countries’ external adjustment by using two oil income shocks with different timings: giant oil discovery news shocks and contemporaneous oil revenue shocks from international oil price changes. Empirical estimates using a large panel of countries support the intertemporal theory. Net foreign assets hike immediately upon oil revenue shocks, but decline for the first 5 years after oil discoveries and rebound subsequently. These adjustments are largely through the current account but partially stabilized by valuation effects for oil revenue shocks. Oil discoveries attract FDI inflows, while oil revenue shocks increase foreign debt assets holdings.

The Influence of Earning Per Share, Turnover of Total Asset, Return on Equity and Debt Asset Ratio on LQ45 Index Share Price Period 2017 – 2021 listed on the Indonesia Stock Exchange

Due to the inflation factor, for that we need to invest in an investment asset, the current value of money will decrease. The investment instrument studied in this study were shares, using financial ratios to establish whether financial ratios are correlated with stock prices so that we can search for companies that can provide benefits in the form of capital gains, the object of this research uses ratios, among others: earnings per share, total asset turnover, return on equity, and debt/asset ratio. This research, using the help of the Eviews version 10 program as an application to process the data used, was carried out on companies listed on the lq45 index. In this study, the purposive sampling method was used as the sampling method. The number of samples used were 23 companies with research data carried out from 2017 to 2021, so 115 observation data were obtained. From the results of this study it is known that: (1) Earnings per share has a significant positive effect on share prices, this is evidenced with a significance of 0.0000 and a t value of 11.35574, so H1 is accepted; (2) The Turnover of Total Assets has a significant positive effect on stock prices, this is evidenced by the significance of 0.0156 and the value of the arithmetic t (2.456378) for which H2 is accepted; (3) Return on Equity has a significant positive effect on share prices, this is evidenced by a significance of 0.0010 and a t-count value of 3.368250, so H3 is accepted; (4) The debt to asset ratio has a significant negative effect on share prices, this is evidenced by a significant value of 0.1872 and a t-count value of (1.327267) so H4 is rejected; (5) Obtained Simultaneous Test Results Arithmetic results F of 33.50263 with probability 0.000000 can be concluded if simultaneously all variables have a significant influence on stock prices. The results of the regression analysis show the adjusted value (r^2) of 0.532807, which means that variations in Earnings per Share, Total Asset Turnover, Return on Equity, and Debt to Assets Ratio can explain the 53.28 % of changes in stock price. While the remaining 46.72% is explained by other variables not examined in this study.