<![CDATA[This study aims to analyze the influence of coal price fluctuations and government policies on the financial performance of coal mining companies in Indonesia for the 2019–2025 period. The performance indicators used include Net Profit Margin (NPM), Return on Assets (ROA), and Return on Equity (ROE). The results of the discussion show that the financial performance of coal mining companies has a strong relationship and is in line with global coal price movements. In 2020, when coal prices fell due to the COVID-19 pandemic, the company's revenue and net profit decreased, so the profitability ratio also weakened. This condition occurs because most operating costs are relatively fixed, while revenue is highly dependent on the selling price of commodities. On the other hand, in the 2021–2022 period, the increase in coal prices drove a significant increase in revenue, net profit, NPM, ROA, and ROE. However, entering 2023–2025, the normalization of coal prices has caused profitability to be corrected again, although the rate of decline differs between companies because it is influenced by cost efficiency, capital structure, business diversification, and investment strategies. In addition to global prices, government policies through the Domestic Market Obligation (DMO) scheme also affect financial performance. A case study of PT Adaro Energy Indonesia Tbk shows that the implementation of a 25% DMO reduces profits by around 19%, while a 30% DMO reduces profits by around 23%. These findings confirm that the performance of coal companies is pro-cyclical and is greatly influenced by commodity prices and government policies.]]>
