Financial Distress in BUMN in Indonesia and Factors Affecting Financial Performance and Health Levels in BUMN Companies

Abstract

This research aims to determine whether there is Financial Distress in BUMN in Indonesia and State Equity Participation. The population in this study were state-owned and non-problematic infrastructure companies registered on the BUMN court website from 2016 to 2020. The sampling technique used was purposive sampling to obtain a sample of 12 companies—data analysis techniques using panel data regression analysis method. The study results show that Return On Equity (ROE) and Capital Expenditure is significant for financial distress. BUMN receives assistance from small and insignificant State Equity Participation (PMN) and is paid to pay off large debts based on the assignment Participation (PMN), Soundness Level of BUMN, Liquidity, and Leverage do not affect solving BUMN financial problems.

Pengaruh likuiditas, profitabilitas, solvabilitas, dan aktivitas terhadap financial distress pada perusahaan yang terdaftar di Bursa Efek Indonesia periode 2020-2021

“…Berdasarkan hal tersebut, dapat dikatakan bahwa financial distress yang dialami pada perusahaan subjek penelitian tidak dapat ditentukan oleh nilai current ratio dari perusahaan-perusahaan tersebut, dikarenakan nilainya yang terlalu volatile. Hasil dari penelitian ini mendukung apa yang telah disampaikan pada penelitian-penelitian sebelumnya, seperti Heniwati dan Essen (2020), Restianti dan Agustina (2018) serta Pasha et al (2023) yang menyatakan bahwa variabel current ratio sebagai proxy dari rasio likuiditas tidak berpengaruh terhadap kesulitan keuangan.…”