Browsing by Author "Prianggi, Indi Syapira"

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    THE INFLUENCE OF LEVERAGE AND PROFITABILITY IN REDACTING FINANCIAL DISTRESS (Study of Retail Sub Sector Companies Listed on Indonesia Stock Exchange (IDX) Period 2015-2019)
    (Solid State Technology Volume: 63 Issue: 4, 2020) Prianggi, Indi Syapira; Hafiyanando, Michael; Firdaus, Audy Bio; Fauziah, Reva Aulia; Yusuf, Paulus Sugianto
    Tight business competition resulted in a decrease in the growth of retail companies in Indonesia. This is because retail companies are outs efficiently outnumbered by ecommerce companies, which in 2017 was the most severe slowdown in 10 years. There is a phenomenon where the company's finances are experiencing various problems called financial distress. Each company must make financial distress predictions to know the health of the company, one of which is by analyzing the leverage ratio and profitability ratio. Leverage ratios show the small amount of corporate debt that leads to financial difficulties, while the profitability ratio shows the small margin gains that indicate the company's performance. This research aims to test and analyze the influence of leverage and profitability on financial distress in retail sub-sector companies listed on the Indonesia Stock Exchange (IDX) for the period 2015-2019. The research method uses explanatory research, a data source using secondary data. Population and research sample of 21 companies over 5 periods. The results showed that overall, leverage measured using Debt Ratio (DR) and profitability measured using Return on Assets (ROA) had an effect on financial distress both partially and simultaneously. Based on the results of the research, it is known that leverage and profitability have contributed to financial distress in retail sub-sector companies listed on the Indonesia Stock Exchange (IDX) for the period 2015-2019 by 37%, while the remaining 63% is influenced by other factors that are not studied.