Financial Distress Analysis for Garuda Indonesia Uses the Altman Z-Score Method in the 2018-2022 Period

Garuda Indonesia is one of the largest airlines in Indonesia that has been facing potential bankruptcy since 1998. The main problem that caused Garuda Indonesia to experience bankruptcy was the large debt burden it had and the coronavirus pandemic in 2020 caused Garuda Indonesia to experience a financial crisis. This study aims to analyze the bankruptcy tendency of Garuda Indonesia during the 2018-2022 period using the Altman Z-Score method. The analysis method used this model, which is an analysis that takes into account the value of the combination of the company's financial ratios using a multivariant discriminant equation in showing the level of bankruptcy tendency of the company. The data used in financial reports that have been published on the Garuda Indonesia through the website (https://www.garuda-indonesia.com/) in the first quarter of 2018 – the third quarter of 2023. The variables used in the analysis using the Altman Z-Score method include Working Capital to Total Asset, Retained Earnings to Total Asset, EBIT to Total Asset, Market Value of Equity to Book Value of Debt, and Sales to Total Asset. Through this study, it can be concluded whether the company was potentially to be bankrupt. Based on the results using the Altman model, it shows that Garuda Indonesia is experiencing financial difficulties. This can be seen from the acquisition of the Z-Score value in the 2018-2021 period which is below the cut-off point