THE IMPACT OF FINANCIAL PERFORMANCE ON SURVIVAL OF COMPANIES IN THE FOOD BEVERAGE AND RETAIL COMPANY SERVICES FROM POTENTIAL BANKRUPTCY

Financial performance refers to the overall financial health and success of a company or
organization, as measured by various financial metrics and indicators. In this study,
there are five factors that can affect financial performance in a company, there are
investments ratio, profitability ratio, solvency ratio, liquidity ratio, and taffler z score.
This study focuses on ratios derived from cash flow statements, balance sheets and
profit and loss. The quantitative method is used by selecting 19 Food & Beverages, and
Retail companies listed on the Indonesian stock exchange. Data were analysed using
regression analysis through IBM SPSS software. The results of the study show that not
all of the independent variables used in this study have a significant effect on financial
performance that occurs in Food and Beverages, and retail companies. This is supported
by conditions when Covid 19 occurred, many food and beverages, and retail companies
experienced losses and were threatened with bankruptcy that year. The findings of this
study imply that in order to improve the fundamentals of a company's financial
condition, companies must have awareness to pay attention to factors that can affect
financial performance to avoid bankruptcy.