Comparison Level of Financial Distress before and During the Covid-19 Pandemic in Indonesia

The purpose of this study was to determine the level of financial distress that occurred before and for the duration of the Covid-19 pandemic in manufacturing corporations on the Indonesia Stock Exchange. By performing an Altman z-score analysis using five ratios of working capital to total assets, retained earnings to total assets, earnings before interest and taxes to total assets, market value equity to book value of total debt, and sales to total assets. This study is a type of quantitative study that utilizes of secondary data. The data used in the financial statement of the main record board of manufacturing companies was for the period 2017- 2020. The research sample consists of 90 companies. The test was carried out using the Mann-Whitney U Test using the SPSS V.25 program. This study shows that there is no significant difference in the level of financial distress that occurred before and during the Covid-19 pandemic. The results of this study provide recommendation for further researchers, namely in measuring the level of financial distress, they can add or use other analyzes other than the Altman Z-Score. Future researchers can use a longer observation period, especially during the Covid-19 pandemic.