The Effect of Financial Ratio on Financial Distress in Non-Financial Companies Listed on IDX
Dublin Core
Title
The Effect of Financial Ratio on Financial Distress in Non-Financial Companies Listed on IDX
Creator
Zunairoh, Liliana Inggrit Wijaya, Deddy Marciano, Marwin Antonius Rejeki Silalahi, Della Alicia Lesmana
Proceedings Item Type Metadata
meta_title
The Effect of Financial Ratio on Financial Distress in Non-Financial Companies Listed on IDX
Abstract/Description
The purpose of this study is to analyse variables that affect financial distress in non-financial companies listed on Indonesia Stock Exchange (IDX) for the 2018-2022 period. Independent variables used in this research are liquidity ratio, profitability ratio, leverage, and activity ratio. There are also several control variables such as sales growth and firm size, and the pandemic as a dummy variable. The dependent variable used in this research is financial distress which will be measured by the interest coverage ratio. This research uses a quantitative approach with a logistic regression model. The number of samples that meet the characteristics are 324 companies on the Indonesia Stock Exchange during the 2018-2022 period. The research results show that the current ratio, debt to equity, return on assets, and firm size have a significant effect on financial distress. Meanwhile, the variables of total asset turnover, sales growth, and pandemic do not effect on financial distress.
publication_date
2025/06/15
pdf_url
https://insyma.org/proceedings/files/articles/Zunairoh_Zunairoh.pdf
abstract_html_url
https://insyma.org/proceedings/items/show/410
keywords
Financial distress, Liquidity ratio, Profitability ratio, Leverage, Activity ratio.
firstpage
605
lastpage
610
issn
3047-857X
conference
Proceedings of the International Symposium on Management (INSYMA)
Volume
22
publisher_name
Fakultas Bisnis dan Ekonomika, Universitas Surabaya
no article
99
Files
Citation
Zunairoh, Liliana Inggrit Wijaya, Deddy Marciano, Marwin Antonius Rejeki Silalahi, Della Alicia Lesmana, “The Effect of Financial Ratio on Financial Distress in Non-Financial Companies Listed on IDX,” Proceedings of the International Symposium on Management (INSYMA), accessed July 22, 2025, https://insyma.org/proceedings/items/show/410.