FINANCIAL ASSESSMENT TO IMPROVE THE PERFORMANCE OF PT WASKITA KARYA TBK IN OVERCOMING DEBT CHALLENGES

• Main Author: Amadea, Vanessa
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/83305
• Institution: Institut Teknologi Bandung

Indonesia ranked 62nd out of 140 economies for infrastructure development in the World Economic Forum's Global Competitiveness Report 2015-2016, reflecting a mediocre performance that hinders economic growth. Inadequate infrastructure has been a significant challenge since the reformation era, prompting President Joko Widodo's administration to prioritize infrastructure development to boost economic growth and reduce logistical costs. However, the COVID-19 pandemic and government policy shift significantly impacted PT Waskita Karya Tbk, reducing infrastructure spending and project demand while exacerbating financial strain through operational delays and high debt levels. This study aims to evaluate the external factors, financial performance, and health condition of PT Waskita Karya Tbk using the decree of the Ministry of SOEs No. KEP-100/MBU/2002, along with DuPont analysis and financial distress prediction through the Altman Z-Score method for the period 2019 to 2023. The financial health rankings of PT Waskita Karya Tbk for each year from 2019 to 2023 were as follows: B, CC, CCC, CCC and CC respectively. The Altman Z-Score results indicate a declining trend in the total scores from 2019 to 2023, suggesting that the company is experiencing financial distress. This research builds upon previous studies by employing a different approach and focus, providing a more comprehensive perspective on the downward trend in Indonesia's construction industry, particularly concerning PT Waskita Karya Tbk.