ANALYSIS OF FINANCIAL PERFORMANCE OF PETROCHEMICAL INDUSTRY IN INDONESIA DURING PRE AND POST COVID-19 (STUDY CASE: PT CHANDRA ASRI PETROCHEMICAL TBK)

• Main Author: Wicaksono, Alloysius
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/63828
• Institution: Institut Teknologi Bandung

During the COVID-19 pandemic, every company in every industry saw a drop in financial performance. This was also the case for companies in the petrochemical industry, which saw a decline in financial performance. As a result, the stakeholders who are expected to make decisions based on the situation must comprehend the situation. The evaluation of a company's financial performance serves as a guideline for determining how long the company can survive. Either for the present or in the future. As a result, the researcher made the decision to examine the company's financial performance, which includes the Profitability Ratio, Liquidity Ratio, Activity Ratio, and Solvability Ratio. PT Chandra Asri Petrochemical Tbk is the subject of this investigation. Researchers want to know how the company's financial performance was before and after COVID-19. Two methods were used in this study's analysis. The first method is quantitative analysis, which examines the company's financial performance from the first quarter of 2018 to the third quarter of 2021 based on the following metrics: Return on Equity, Return on Investment, Cash Ratio, Current Ratio, Collection Period, Inventory Turnover, Total Assets Turnover, and Equity to Assets Ratio. The information is derived from the company's financial statements. This research is expected to uncover differences in the company's financial performance before and after COVID-19. The qualitative analysis method is the second method. SWOT and PEST analyses are used to determine the company's internal strengths as well as its external threats. Interviews were conducted with four resource persons with knowledge of the petrochemical industry for the qualitative method. According to financial analysis, PT Chandra Asri Petrochemical Tbk had a good financial performance before and after COVID-19. The profitability ratio fell in the first three quarters of 2020. Following that, the profitability ratio improved because of several policies and investments that benefited PT Chandra Asri Petrochemical Tbk. Furthermore, based on the author's SWOT and PEST analysis, the company can capitalize on its advantages to increase sales. PT Chandra Asri Petrochemical has the advantage of being a leader in the Indonesian petrochemical industry. The addition of Plant 2 is expected to boost the company's productivity. Many investors have invested in PT Chandra Asri Petrochemical Tbk because of government policies that support the company. PT Chandra Asri Petrochemical Tbk is currently developing Enclosed Ground Flare Technology to reduce pollution in the manufacturing process. This technology's advancement will streamline the operation process while also making it more environmentally friendly. However, the petrochemical industry continues to face challenges due to limited resources and policies that may change because of COVID-19 provisions.