Financial Distress Analysis of Industrial Companies Listed on the Indonesia Stock Exchange in 2024 Using the Altman Z-Score

Abstract

This study aims to analyze the potential financial distress of industrial sector companies listed on the Indonesia Stock Exchange (IDX) in 2024 using the Altman Z-Score model. The study employed a quantitative approach with a purposive sampling method, resulting in 53 companies selected as samples from 67 industrial sector companies. The variables analyzed included working capital, total assets, retained earnings, EBIT, equity value, and total liabilities. The results indicate that 37 companies (69.81%) were categorized as financially healthy, 6 companies (11.32%) were in the grey area, and 10 companies (18.87%) were identified as being in financial distress, namely INDX, KOBX, VOKS, CAKK, CTTH, IBFN, INTA, KOIN, MDRN, and HOPE. These findings suggest that although the majority of industrial companies maintain adequate financial stability, several companies still face bankruptcy risks that require strategic attention from management.