ANALYSIS OF LIQUIDITY, PROFITABILITY, SOLVENCY, AND ACTIVITY RATIOS TO ASSESS THE FINANCIAL PERFORMANCE OF PT. PERTAMINA GEOTHERMAL ENERGY TB FOR THE PERIOD 2022 TO 2024

Abstract

The financial performance of a company is an important indicator in evaluating its condition and the effectiveness of its financial management. This study aims to assess the financial performance of PT Pertamina Geothermal Energy Tbk, a subsidiary of PT Pertamina, in the post-Covid-19 period and in relation to issues concerning integrity within its parent company. The financial ratio analysis approach was utilized in this research, including aspects such as liquidity, solvency, profitability, and activity ratios. The method used in this study is descriptive quantitative analysis, with data obtained through literature review and secondary sources in the form of financial statements for the 2022 to 2024 period from the official website of the Indonesia Stock Exchange. The results show a significant improvement in the company’s liquidity. Profitability remains efficient despite a decline in Return on Equity (ROE), indicating reduced effectiveness in equity utilization. The capital structure strengthened with decreased debt proportion. However, operational activities still underperform in asset utilization and receivables management. This research aims to support evaluation efforts to enhance governance, transparency, and strategy strengthening for sustainable financial performance.