THE EFFECT OF LEVERAGE AND SALES GROWTH ON FINANCIAL DISTRESS WITH PROFITABILITY AS A MEDIATOR
Keywords:
Leverage, Sales Growth, Profitability, Financial DistressAbstract
Financial distress is a condition characterized by a decline in a company's financial performance prior to bankruptcy. This study aims to examine the effect of leverage and sales growth on financial distress with profitability as a mediating variable in metal goods and related sub-sector companies listed on the Indonesia Stock Exchange (IDX) during the 2020–2023 period. The sample consists of 16 companies determined using the purposive sampling method. The data analysis techniques employed include descriptive analysis and inferential analysis, which consist of path analysis, Sobel test, and t-test. The results indicate that leverage has a significant negative effect on financial distress, while sales growth has no effect on financial distress. Profitability has a significant positive effect on financial distress, and leverage has a significant negative effect on profitability, whereas sales growth has a significant positive effect on profitability. Furthermore, profitability is proven to mediate the effect of leverage and sales growth on financial distress.
Downloads
References
Altman, E. I. (1968). Financial Ratio, Discriminant Analysis and the Prediction of Corporate Bankrupty. The Journal of Finance, 23(4), 589–609.
Altman, E. I., & Hotchkiss, E. (2010). Corporate Financial Distress And Bankruptcy: Predict And Avoid Bankruptcy, Analyze And Invest In Distressed Debt (3rd ed.). New York: John Wiley & Sons.
Anisa, T. D. M., & Febyansyah, A. (2024). Pengaruh Likuiditas, Leverage, Ukuran Perusahaan Dan Pertumbuhan Penjualan Terhadap Profitabilitas. Jurnal Ilmiah MEA (Manajemen, Ekonomi, Dan Akuntansi), 8(1), 1992–2016. https://doi.org/10.31955/mea.v8i1.3896
Apriliake, C. R., Desyana, G., & Astarani, J. (2024). Pengaruh Profitabilitas, Leverage dan Sales Growth Terhadap Financial Distress Dengan GCG Sebagai Variabel Moderasi. Jurnal Ekonomi Bisnis, Manajemen Dan Akuntansi (JEBMA), 4(2), 666–679. https://doi.org/10.47709/jebma.v4i2.3910
Arifin, D. S., Masud, A., Kalsum, U., & Makkulau, R. A. (2021). The Influence of Liquidity, Leverage, Company Size and Profitability on Financial Distress. International Journal of Business and Social Science Research, 2(6), 11–17. https://doi.org/10.47742/ijbssr.v2n6p2
Armadani, Fisabil, A. I., & Salsabila, D. T. (2021). Analisis Rasio Kebangkrutan Perusahaan pada Masa Pandemi Covid-19. Jurnal Akuntansi, 13(1), 99–108. https://doi.org/10.28932/jam.v13i1.3197
Ayatika, A., Suryaningprang, A., Herlinawati, E., Sudaryo, Y., & Supiyadi, D. (2024). The Effect of Profitability, Liquidity, Leverage and Activity on Financial Distress at PT Waskita Karya (Persero) Tbk. Insight Management Journal, 4(2), 47–58. https://doi.org/10.37641/jimkes.v12i4.2550
Bramantha, I. W. S. Y., & Yadnyana, I. K. (2022). Analisis Financial Distress Pada Perusahaan Property & Real Estate Yang Terdaftar Di Bei Periode 2016-2020. E-Jurnal Ekonomi Dan Bisnis Universitas Udayana, 11(03), 303–316.
Bunyaminu, A., Yakubu, I. N., & Bashiru, S. (2021). The Effect Of Financial Leverage On Profitability: An Empirical Analysis Of Recapitalized Banks In Ghana. International Journal of Accounting & Finance Review, 7(1), 93–102. https://doi.org/10.46281/ijafr.v7i1.1227
Curry, K. (2020). The Influence of Leverage, Cash Flow, Tax, R & D, Economic Growth and Inflation on the Financial Distress in the Sub-Sector of Property and Real Estate Companies. International Conference on Management, Accounting, and Economy (ICMAE 2020), 151, 397–400. https://doi.org/10.2991/aebmr.k.200915.091
Dirman, A. (2020). Financial distress: The impacts of profitability, liquidity, leverage, firm size, and free cash flow. International Journal of Business, Economics and Law, 22(1), 17–25.
Dirman, A., & Utami, S. W. (2023). Effect of Financial Performance on Financial Distress With Good Corporate Governance As Moderating Variable. International Journal of Business, Economics and Law, 28(3), 165–179.
Dwiantari, R. A., & Artini, L. G. S. (2021). The Effect of Liquidity, Leverage, and Profitability on Financial Distress (Case Study of Property and Real Estate Companies on the IDX 2017-2019). American Journal of Humanities and Social Sciences Research (AJHSSR), 5(1), 367–373. www.ajhssr.com
Dwipayana, K. B. K., & Candradewi, M. R. (2024). Pengaruh Sales Growth, Kepemilikan Institusional, Ukuran Perusahaan, Dan Leverage Terhadap Financial Distress. E-Jurnal Ekonomi Dan Bisnis Universitas Udayana, 13(7), 1506–1516.
Efendi, F. A., Fernanda, D., & Thahirah, K. A. (2023). Analisis Pengaruh Profitabilitas, Leverage, Dan Ukuran Perusahaan Terhadap Financial Distress. Jurnal Akuntansi Keuangan Dan Bisnis, 1(2), 97–100. https://jurnal.ittc.web.id/index.php/jakbs/index%0Ahttp://eprints.unmas.ac.id/id/eprint/4100/%0Ahttp://eprints.unmas.ac.id/id/eprint/4100/2/skripsi_ni made dewuk savitri_BENAR__watermark-15-66.pdf
Elfriandi, E., & Sudjono, S. (2023). Determinants of Financial Distress Using Enterprise Risk Management as an Intervening Variable. International Journal of Management and Business Applied, 2(1), 21–38. https://doi.org/10.54099/ijmba.v2i1.486
Faldiansyah, A. K., Arrokhman, D. B. K., & Shobri, N. (2020). Analisis Pengaruh Leverage, Ukuran Perusahaan, Dan Arus Kas Terhadap Financial Distress. Jurnal Bisnis Net, 3(2), 90–102. https://doi.org/10.46576/bn.v3i2.999
Febrianti, R., & Basri, H. (2022). The Effect of Cash Turnover, Sales Growth and Leverage on Profitability. Jurnal Ekonomi, 11(03), 1160–1168. http://ejournal.seaninstitute.or.id/index.php/Ekonomi/article/view/871%0A
Giarto, R. V. D., & Fachrurrozie, F. (2020). The Effect of Leverage, Sales Growth, Cash Flow on Financial Distress with Corporate Governance as a Moderating Variable. Accounting Analysis Journal, 9(1), 15–21. https://doi.org/10.15294/aaj.v9i1.31022
Gultom, F. F., & Hasyim, D. (2025). Pengaruh Likuiditas dan Leverage Terhadap Financial Distress dengan Profitabilitas sebagai Variabel Intervening pada Perusahaan Pertambangan di Bursa Efek Indonesia Periode 2017-2023. GEMILANG: Jurnal Manajemen Dan Akuntansi, 5(2), 52–75. https://doi.org/10.56910/gemilang.v5i2.1958
Hastiarto, O., Umar, H., & Indriani, A. (2021). The Effect of Liquidity, Leverage, and Profitability on Financial Distress with Audit Committee as a Moderating Variable. International Journal of Current Science Research and Review, 04(10), 1304–1315. https://doi.org/10.47191/ijcsrr/v4-i10-13
Hermanto, & Dewinta, A. (2023). Pengaruh Ukuran Perusahaan, Efisiensi Perusahaan, Likuiditas, Kekuatan Pasar, Pertumbuhan Perusahaan Dan Leverage Terhadap Profitabilitas. Jurnal Ilmiah MEA (Manajemen, Ekonomi, Dan Akuntansi), 7(2), 846–871. https://doi.org/10.31955/mea.v7i2.3060
Hidayat, I., & Dewi, F. O. S. (2023). The Effect of Capital Structure, Investment Decision and Working Capital Turn Over on Profitability. Accounting and Finance Studies, 7(1), 60–68. https://doi.org/10.47153/afs33.6902023
Jensen, M. C., & Meckling, W. H. (1976). Theory Of The Firm : Managerial Behavior , Agency Costs And Ownership Structure. Journal of Financial Economics, 3(4), 305–360.
Kasmir. (2017). Analisis Laporan Keuangan. Jakarta: PT. Grafindo Persada.
Kasmir. (2019). Analisis Laporan Keuangan. Depok: Rajawali Pers.
Khansa, L., Nugroho, W. S., & Nurcahyono, N. (2022). The Effect of Liquidity, Leverage, Profitability and Firm size on Financial Distress with GCG as a Moderation Variable. Maksimum, 12(2), 143. https://doi.org/10.26714/mki.12.2.2022.143-153
Mardiana, A., & Holly, A. (2023). The Effect of Leverage, Operating Capacity and Sales Growth on Financial Distress with Corporate Governance as Moderating Variable. INVOICE: Jurnal Ilmu Akuntansi, 5(2), 201.
Modigliani, F., & Miller, M. H. (1958). The Cost Of Capital, Corporation Finance And The Theory Of Investment. The American Economic Review, 48(3), 261-297.
Naibaho, E. A. B. N., & Natasya, A. (2023). Ratio Analysis To Financial Distress with Profitability As A Moderation Variable. Jurnal Reviu Akuntansi Dan Keuangan, 13(2), 412–440. https://doi.org/10.22219/jrak.v13i2.24506
Nasir, M. J. A. (2021). Pengaruh Leverage, Pertumbuhan Penjualan, Dan Ukuran Perusahaan Terhadap Profitabilitas. Buletin Ekonomi: Manajemen, Ekonomi Pembangunan, Akuntansi, 18(2), 261–286. https://doi.org/10.31315/be.v18i2.5642
Oktavian, E., & Handoyo, S. E. (2023). Effect of Leverage, Profitability, Liquidity Ratio, and Inflation towards Financial Distress. International Journal of Management Science and Application, 2(1), 11–27. https://doi.org/10.58291/ijmsa.v2i1.111
Oktaviana, R., & Widyaningsih, I. U. (2022). Pengaruh Pertumbuhan Penjualan Terhadap Profitabilitas Perusahaan Dengan Kebijakan Hutang Sebagai Variabel Intervening. Tirtayasa Ekonomika, 17(1), 117–130. https://doi.org/10.35448/jte.v17i1.15036
Oktaviani, N. D. D., & Lisiantara, G. A. (2022). Pengaruh Profitabilitas, Likuiditas, Aktivitas, Leverage, dan Sales Growth Terhadap Financial Distress. Owner: Riset & Jurnal Akuntansi, 6(2), 2613–2623. https://doi.org/10.33395/owner.v6i3.944
Pane, A. A., Dalimunthe, H., & Ananda, R. F. (2023). How Sales Growth And Leverage Affect Financial Distress. International Journal of Applied Finance and Business Studies (IJAFIBS), 11(1), 35–41.
Paramartha, A. P., & Wiagustini, N. L. P. S. M. S. (2021). Determination of Financial Distress in Manufacturing Companies on the Indonesia Stock Exchange. International Journal of Management Studies and Social Science Research, 3(3), 201–208. www.ijmsssr.org
Putri, N. M. A., & Artini, L. G. S. (2025). Pengaruh Leverage , Likuiditas , Rasio Aktivitas dan Sales Growth Terhadap Financial Distress. Inisiatif: Jurnal Ekonomi, Akuntansi Dan Manajemen, 4(2), 309–323.
Putri, P. A. D. W. P. (2021). The Effect of Operating Cash Flows, Sales Growth, and Operating Capacity in Predicting Financial Distress. International Journal of Innovative Science and Research Technology, 6(1), 638–646. www.ijisrt.com638
Rahman, A. A., Hidayat, D., Hakim, F. I. Z., Shaddiq, S., Syahdanur, & Alhempi, R. R. (2022). The Effect of Sales Growth, Company Size, and Good Corporate Governance on Financial Distress In Trading Companies In The Retail Trade Sub-Sector Listed On The Indonesia Afek Exchange For The 2018-2020 Period. International Journal of Latest Technology in Engineering, Management & Applied Science, 11(12), 20–27. https://doi.org/10.51583/ijltemas.2022.111204
Riesta, G. I., & Septriana, I. (2023). The Role of Good Corporate Governance in Moderating the Effect of Financial Ratio on Financial Distress (Study of Consumer Sector Companies Listed on the Indonesia Stock Exchange Over Period 2018-2020). Jurnal Penelitian Ekonomi Dan Bisnis, 8(1), 10–18. https://doi.org/10.33633/jpeb.v8i1.6409
Rosi, N. A., & Hasanuh, N. (2020). The Influence Of Return On Assets, Debt To Assets Ratio And Current Ratio On Financial Distress. E-Jurnal Ekonomi Dan Bisnis Universitas Udayana, 9(10), 995–1018. https://doi.org/10.1016/j.jnc.2020.125798%0A
Septiani, T. A., Siswantini, T., & Murtatik, S. (2021). Pengaruh Likuiditas, Leverage Dan Profitabilitas Terhadap Financial Distress Pada Sektor Industri Barang Konsumsi Yang Terdaftar Di Bei. E-Jurnal Apresiasi Ekonomi, 9(1), 100–111. https://doi.org/10.31846/jae.v9i1.335
Setiawan, A. F., & Suwaidi, R. A. (2022). Pengaruh Rasio Likuiditas, Aktivitas, dan Leverage Terhadap Profitabilitas dengan Firm Size Sebagai Variabel Moderasi. Briliant: Jurnal Riset Dan Konseptual, 7(3), 750. https://doi.org/10.28926/briliant.v7i3.1035
Setyawan, E. (2020). Pengaruh Struktur Kepemilikan, Profitabilitas, Likuiditas,Leverage Dan Nilai Tukar Terhadap Financial Distress Pada Perusahaan Yang Terdaftar di IDX Tahun 2016-2017. Jurnal Ilmu Manajemen (JIM), 8(1), 51–66.
Sugiyono. (2019). Metode Penelitian Kuantitatif, Kualitatif & RND. Alfabeta.
Sumarni, Tuerah, R. H., Maradesa, C., Rombot, R. F., & Ruhiyat. (2025). The Effect of Liquidity, Leverage and Sales Growth on Financial Distress with Profitability as a Moderating Variable. SIBATIK JOURNAL: Jurnal Ilmiah Bidang Sosial, Ekonomi, Budaya, Teknologi, Dan Pendidikan, 4(5), 445–460. https://doi.org/10.61635/jin.v1i2.102
Suryani. (2020). Pengaruh Profitabilitas, Leverage, Sales Growth, Dan Ukuran Perusahaan Terhadap Financial Distress. Jurnal Online Insan Akuntan, 5(2), 229–244. https://doi.org/10.51977/financia.v5i2.1743
Swari, N. N. Y., & Artini, L. G. S. (2025). Pengaruh Likuiditas, Leverage, Dan Profitabilitas Terhadap Financial Distress. E-Journal Manajemen, 14(5), 316–330.
Syuhada, P., Muda, I., & Rujiman. (2020). Pengaruh Kinerja Keuangan dan Ukuran Perusahaan Terhadap Financial Distress Pada Perusahaan Property dan Real Estate di Bursa Efek Indonesia. Jurnal Riset Akuntansi Dan Keuangan, 8(2), 319–336. https://doi.org/10.17509/jrak.v8i2.22684
Tresnawati, R., & Miftahuddin, A. (2021). Influence of Sales Growth and Leverage on Profitability (Empirical Study of Manufacturing Companies in the Consumer Goods Sector Listed On Indonesia Stock Exchange for the 2016-2019 Period). Turkish Journal of Computer and Mathematics Education, 12(8), 567–570. www.rigeo.org
Umam, D. C., & Yusuf, Y. (2024). Determinants of Financial Distress: Review of the Aspects of Profitability, Liquidity, Leverage, and Activity. International Journal Multidisciplinary Science, 3(1), 36–44. https://doi.org/10.56127/ijml.v3i1.1218
Utama, M. S. (2016). Aplikasi Analisis Kuantitaif. CV. Sastra Utama.
Wangsih, I. C., Yanti, D. R., Yohana, Y., Kalbuana, N., & Cahyadi, C. I. (2021). Influence of Leverage, Firm Size, and Sales Growth on Financial Distress. International Journal of Economics, Business and Accounting Research (IJEBAR), 5(4), 180–194. www.ceicdata.com
Wiagustini, N. L. P. (2014). Dasar-Dasar Manajemen Keuangan. Udayana Univesity Press.
Widhi, N. N., & Suarmanayasa, I. N. (2021). Pengaruh Leverage dan Pertumbuhan Penjualan Terhadap Profitabilitas pada Perusahaan Subsektor Tekstil dan Garmen. Jurnal Ilmiah Akuntansi Dan Humanika, 11(02), 267–275.
Wilujeng, R., & Yulianto, A. (2020). Determinan Financial Distress dengan Profitabilitas Sebagai Variabel Moderating. Jurnal Penelitan Ekonomi Dan Bisnis, 5(1), 90–102. https://doi.org/10.33633/jpeb.v5i1.2746
