A.R.S. Dewi’s scientific contributions

Financial distress is a condition where the company's finances are in an unhealth or a crisis that can lead to bankruptcy. This study aims to analyze the return on asset (ROA), return on equity (ROE), receivable turnover (RT), and inventory turnover (IT) to financial distress. By taking samples using purposive sampling, the sample of this research is five Bakrie Group companies that meet the criteria of ten population of Bakrie Group companies listing in Indonesia Stock Exchange. The research data are quarterly financial reports from 2012 to 2016 as many as 100 financial statement data. Financial distress analysis technique in this study using Altman Z-score method with the formula Z = 6.56X1 + 3.26X2 + 6.72X3 + 1.05X4. The Z-score indicator for determining financial distress is grouped into categories, non-financial distress (Z> 2.99), gray area (1.81 <Z <2.99), and financial distress (Z <1.81). The results of data analysis using logistic regression showed that ROA and IT variables have a negative and significant influence on financial distress. The ROE variable has a negative and insignificant effect on financial distress, and the RT variable has positive and insignificant effect on financial distress. That is, only ROA and IT variables are able to predict the condition of financial distress.