FINANCIAL PERFORMANCE AND Z-SCORE ASSESSMENT OF PT. ALPHA TECHNOLOGY (ALTEC)

• Main Author: Choirun Nisa, Farah
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/42685
• Institution: Institut Teknologi Bandung

Nowadays, the IT services industry is growing rapidly reaching around 8% each year. This proves that the IT services industry has a role and growth that greater than the average growth of the National Gross Domestic Product (GDP). PT. Alpha Technology (Altec) is one of the biggest IT services provider in Indonesia. Recently, their revenue and net income/profit of the year have opposite trends. Whereas, net income commonly used as an indicator of the company's profitability. The purpose of this study is to evaluate the performance of financial statements and by using of Z-Score as an analytical tool to determine the level of health of the company that is assessed by the risk of a possible bankruptcy in the company. Financial statement analysis is done through financial ratios in the form of profitability, liquidity, activity, and solvency. Furthermore, financial statement analysis is also conducted through DuPont to find out the factors that most influence the company's return on equity (ROE). Thus, Z-Score is a complementary analysis tool that is used to determine the performance and health level of the company concerned. The results show that the overall financial performance of Alpha Technology was quite good, but tends to experience a downward trend every year. In the last two years, the Z-Score analysis showed that Alpha Technology was in the grey zone with the lowest value of 1,28 in 2018.