ACCOUNTHIK : Journal of Accounting and Finance
Vol. 9 No. 1 (2024): March 2024

Optimizing Financial Performance: A Comprehensive Analysis of PT Astra Agro Lestari Tbk's Liquidity and Solvency

Kusnanto, Danang (Unknown)
Rahman, Zaidan Al (Unknown)
Alam, Muhammad Nur (Unknown)
Nugraha, Nugraha (Unknown)



Article Info

Publish Date
31 Mar 2024

Abstract

This research examines the financial performance of PT Astra Agro Lestari Tbk, one of Indonesia's largest palm oil producers, during the period of 2018-2022. The primary focus of the study is the analysis of liquidity and solvency ratios, aiming to provide an in-depth understanding of the challenges and opportunities faced by the company in the dynamics of the global market. The research adopts a quantitative descriptive approach, utilizing data from the company's public financial reports. The analysis results reveal fluctuations in the liquidity and solvency of the company. Despite facing challenges in 2019, the company managed to improve its performance. However, it was observed that the company exhibits a high dependency on long-term debt. As a recommendation, this research suggests that the company should formulate a more balanced financial policy to reduce risks and enhance flexibility amid economic uncertainties. These measures are expected to assist the company in navigating market dynamics more effectively and ensuring optimal financial sustainability.

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Journal Info

Abbrev

accounthink

Publisher

Subject

Economics, Econometrics & Finance Social Sciences

Description

Accounthink is a peer-reviewed journal published by Department of Accounting, Faculty of Economics and Business, University of Singaperbangsa Karawang twice a year (March and October). Accounthink aims to publish articles in the field of accounting and finance that provide the significant ...