Pengaruh Rasio Profitabilitas, Arus Kas Operasi, Dan Leverage Terhadap Financial Distress (Pada Perusahaan Sektor Property and Real Estate Yang Terdaftar di Bursa Efek Indonesia Tahun 2017-2020)

Abstract

The more companies increase, the more intense the competition for profit and the company is at risk of financial distress, and even bankruptcy. Financial distress is an early warning before a company goes bankrupt. This study aims to determine the effect of profitability ratio proxied by Return on Equity (ROE), operating cash flow as measured by operating cash flow ratio, and leverage with the indicator used Debt to Equity Ratio (DER) on financial distress in Property and real estate sector companies listed on the Indonesia Stock Exchange (IDX) in 2017-2020. Financial distress measurement uses the Zmijewski (X-Score) model in categorizing companies that experience financial distress. Based on purposive sampling criteria, as many as 64 companies were selected as samples in this study. The data analysis technique used is logistic regression analysis using SPSS Software data processing. Based on the results of research and data processing, shows that the ratio of profitability and operating cash flow does not have a partial effect on financial distress. Meanwhile, leverage partially affects financial distress. And profitability ratio, operating cash flow, and leverage simultaneously affect financial distress.