Abstract:
The purpose of this study is to conducted a computational experiment in
predicting bankruptcy at PT HK Metals Utama Tbk (HKMU) based on one
method for measuring the financial distress using Altman Z-Score. Five
independent variables in this study will be tested some indicators, namely,
Working Capital to Total Assets (WCTA), Retained Earnings to Total Assets
(RETA), EBIT to Total Assets (EBITTA), Book Value of Equity to Total
Liabilities (BVETL), and Sales to Total Assets (STA). This study uses quantitative
research that has eight samples of annual financial statements PT HK Metals
Utama Tbk (HKMU) period from 2015 – 2022. Data was gathered from IDX
website. The results showed that the Altman Z Score can be used to predict
bankruptcy. The results of this study also determine the financial distress of PT
HK Metals Utama Tbk (HKMU) in 2015-2017 before the company IPO and
2019-2022 after the company IPO. This study shows that based on existing
calculations, PT HK Metals Utama Tbk will certainly go bankrupt in the near
future.
