COVID-19 and Corporate Cash Holdings in Indonesia

Sutrisno, Bambang

doi:10.55538/ifr.v1i1.2

Cited by 3 publications

(10 citation statements)

References 15 publications

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“…As a result of the COVID-19 outbreak, researchers become motivated to examine how such high uncertainty in the economic conditions may influence corporate decisions including liquidity policy. In this light, a growing strand of corporate cash holdings literature has begun to investigate how the Covid-19 pandemic may re-shape corporate cash and liquid assets (Cowling et al, 2020;De Vito & Gómez, 2020;Hoang et al, 2022;Ntantamis & Zhou, 2022;Qin et al, 2021;Sutrisno, 2021;Xu & Jin, 2022;Zheng, 2022).…”

Section: Relevant Literature and Hypothesis Developmentmentioning

confidence: 99%

“…The outbreak of the recent COVID-19 pandemic severely influenced the global economy and brought remarkable uncertainty. At the corporate level, the COVID-19 pandemic affected firm's assets management, bankruptcy risk, stock prices and cash holdings decisions Accordingly, finance researchers become motivated to investigate how alternative corporate financial decisions are re-shaped during the outbreak of COVID-19 (e.g., Cowling et al, 2020;De Vito & Gómez, 2020;Hoang et al, 2022;Ntantamis & Zhou, 2022;Qin et al, 2021;Sutrisno, 2021;Xu & Jin, 2022;Zheng, 2022).…”

Section: Introductionmentioning

confidence: 99%

“…Existing corporate cash holdings studies confirmed the significance of firms' cash management during times of several economic uncertainties, such as the recent COVID-19 outbreak (Alnori, 2023;Bugshan et al, 2022;Cook & Tang, 2010). There is a growing strand of corporate financing literature focused on studying the influence of the recent COVID-19 crisis on firms' cash holdings decisions (Ntantamis & Zhou, 2022;Qin et al, 2021;Sutrisno, 2021;Xu & Jin, 2022;Zheng, 2022). emerging market status.…”

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

How Corporate Liquidity Reacts to COVID-19 Outbreak? Evidence from Listed Corporations in Saudi Arabia

Alnori

2024

IJEF

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The outbreak of the COVID-19 pandemic remarkably influenced the global economy and hence corporate decisions. This study investigates corporate liquidity policy reaction to the COVID-19 pandemic by comparing corporate cash holdings levels before and after the COVID-19 crisis. Using quarterly data of listed non-financial firms in Saudi Arabia over the years 2018-2021 and employing a paired-sample univariate analysis, this study found that the COVID-19 outbreak significantly influenced corporate liquidity decisions. In particular, the results show a significant difference in the cash holdings levels between the periods before and after the COVID-19 crisis. Firms’ cash holdings are significantly higher after COVID-19 in comparison to cash holdings before the pandemic. These findings support the trade-off theory’s precautionary and transaction cost motives for holding liquid assets. The outcomes of this study provide important implications for policymakers, corporate managers, and lenders.

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Section: Relevant Literature and Hypothesis Developmentmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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How Corporate Liquidity Reacts to COVID-19 Outbreak? Evidence from Listed Corporations in Saudi Arabia

Alnori

2024

IJEF

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“…Cash Holdings Function at Resilience Stage [8] found that there were significant differences in the level of cash holdings before and after the COVID-19 pandemic. This is supported by the motive of holding cash, which is a precautionary motive where the company must survive in the COVID-19 pandemic.…”

Section: Figurementioning

confidence: 99%

Comparative Analysis of Cash-Driven Resilience During the Covid-19 Pandemic

Troi,

Imelda

2023

ijaeb

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This study aims to examine the comparison and differences in levels of cash-driven resilience during the normal period, the period before the COVID-19 pandemic, and the period during the COVID-19 pandemic; profitability (return on assets, profit margin, and productivity of assets) and financial constraints (liquidity and leverage) on cash-driven resilience. This research method uses the purposive sampling technique. The number of samples used in this study was 86 manufacturing companies listed on the Indonesia Stock Exchange consecutively from 2018 to 2020. The analysis used in this study was descriptive statistics, Kruskal-Wallis test, and post hoc test which was processed with the help of IBM SPSS Statistics 26 software. This study found that overall, there are significant differences in cash-driven resilience during the normal period, the period before the COVID-19 pandemic, and the period during the COVID-19 pandemic; return on assets, profit margin, liquidity, and leverage on cash-driven resilience. While, productivity of assets does not have a significant difference on cashdriven resilience.

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“…Bertepatan dengan itu, penyebaran Coronavirus Disease (Covid-19) masuk ke Indonesia dan menyebabkan guncangan pada sektor perekonomian Indonesia. Penyebaran virus Covid-19 digolongkan sebagai pandemi pada tanggal 11 Maret 2020 WHO (Sutrisno, 2021). Pandemi global Covid-19 memaksa pemerintah membuat kebijakan pembatasan segera dan agresif untuk meminimalisir penyebarannya.…”

Section: Pendahuluanunclassified

Kepemilikan Institusional, Likuiditas, Capital Expenditure, Profitabilitas dan Corporate Cash Holding di Masa Pandemi Covid-19

2022

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This study aims to determine how the influence of institutional ownership, liquidity, Capital Expenditure, and profitability on corporate cash holding (CCH) during the Covid-19 Pandemic. The research population is trading, service and investment sector companies listed on the Indonesia Stock Exchange (IDX) in 2020. The sample is 115 using purposive sampling technique. This study uses multiple linear regression analysis, with the type of secondary data processed through the IBM SPSS version 25 application. The results showed that institutional ownership and Capital Expenditure had no effect on CCH. Meanwhile, liquidity and profitability have a positive effect on CCH. Keywords: Corporate Cash Holding; Institutional Ownership; Liquidity; Capital Expenditure; Profitability

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COVID-19 and Corporate Cash Holdings in Indonesia

Cited by 3 publications

References 15 publications

How Corporate Liquidity Reacts to COVID-19 Outbreak? Evidence from Listed Corporations in Saudi Arabia

How Corporate Liquidity Reacts to COVID-19 Outbreak? Evidence from Listed Corporations in Saudi Arabia

Comparative Analysis of Cash-Driven Resilience During the Covid-19 Pandemic

Kepemilikan Institusional, Likuiditas, Capital Expenditure, Profitabilitas dan Corporate Cash Holding di Masa Pandemi Covid-19

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