Irwan Hermawan, Bonar M. Sinaga, Trias Andati


Coal companies are industries that require large capital in building their industries, therefore companies must be able to know what external factors and internal factors that can affect financial performance and DSCR. This study uses a quantitative approach with secondary data from 4 coal companies listed on the IDX in 2011-2018. In this study structural and identity, equations are used with the 2SLS method. The results showed that (1) DSCR conditions, companies that had financial flexibility, with DSCR above the minimum requirements namely ADRO, INDY, and PTBA but BYAN did not have (2) the number of coal exports was influenced by the difference in Chinese GDP and the number of export coal sales, the number of domestic coal sales is influenced by differences in Indonesian GDP and the number of domestic coal sales. EBIT which is the company’s profitability performance is affected by gross profit. FCF is the company’s liquidity performance which is influenced by EBITDA and CAPEX. Principal payments are the company’s liquidity performance that is affected by liabilities. DSCR, corporate solvency performance is influenced by the principal payment ratio, (3) the decline in Chinese GDP is anticipated by lowering production costs, general and administrative costs, sales and marketing costs, and CAPEX, have an impact on increasing the financial flexibility of the company and its DSCR. If The amount of DMO is added and the domestic coal price was set by the government or by market price, it impacted on increasing the financial flexibility of the company and its DSCR.


coal firms; debt service coverage ratio; domestic market obligation; two-stage least squares

Full Text:



Acaravci S. K. 2015. The determinants of capital structure: evidence from the turkist manufacturing sector. International Journal of Economics and Financial Issues. 5 (1): 158-171.

Andreas. 2017. Analysis of Operating Cash Flow to Detect Real Activity Manipulation and Its Effect on Market Performance. International Journal of Economics and Financial Issues. 7 (1): 524-529.

Bappenas. 2016. Laporan akhir kajian ketercapaian target DMO batubara sebesar 60% Produksi nasional pada tahun 2019. Jakarta (ID): Direktorat Sumber Daya Energi, Mineral dan Pertambangan BAPPENAS.

Brigham E. F. Houston J. F. 2010. Dasar-Dasar Manajemen Keuangan Buku 1. Ed ke-11. Jakarta (ID): Salemba Empat

Bursa Efek Indonesia. 2019. Laporan keuangan tahunan. [On Line]. From: www.idx.co.id [Juli 28, 2019].

Damodaran A. 2002. Capital structure: the choices and the trade off. [On Line]. From: http://people. stern.nyu.edu/adamodar/pdfiles/acf3E/presentations/capstruchoices.pdf [January 06, 2017].

Daneshfar S, Tabriz A. A., and Mohagheghzadeh F. 2016. The effect of financial flexibility companies listed on the stock exchange capital structure decisions. Jurnal of Novel Applied Sciences. 5(6): 213-218.

Hochmuth D. 2010. Sources of financial flexibility and their economic significance empirical evidance from the financial crisis 2007-2009 [Tesis]. Denmark (DK): University of Aarhus

Hooshyar A. M., Valizadeh A. S., and Mohammadi M. F. 2017. Factors affecting financial flexibility of firms listed in tehran stock exchange. IOSR Journal of Economics and Finance. 8(1): 109-114.

Kartikahadi H., Sinaga R. U., Syamsul M., Siregar S. V., and Wahyuni E. T. 2016. Akuntansi Keuangan Berdasarkan SAK Berbasis IFRS Buku 1 Edisi Keua. Jakarta (ID): Ikatan Akuntan Indonesia

Kementrian ESDM. 2009a. Keputusan Menteri Energi dan Sumber Daya Mineral Republik Indonesia Nomor 1395 K/30/MEM/2018 Tentang Harga Jual Batubara Untuk Penyediaan Tenaga Listrik Untuk Kepentingan Umum. [On Line]. From: https:// www.bappenas.go.id/files/5415/0898/5954/ Laporan_Akhir_Kajian_DMO_Batubara_Final.pdf [May 25, 2018].

Kementrian ESDM. 2009b. Peraturan Menteri Energi dan Sumber Daya Mineral Nomor 34 Tahun 2009 Tentang Pengutamaan Pemasokan kebutuhan Mineral dan Batubara untuk Kepentingan Dalam Negeri. [On Line]. From: http://jdih.esdm.go.id/ peraturan/Permen%20ESDM%2034%202009.pdf [May 25, 2018].

Lameijer M. 2016. Financial flexibility, Bidder’s M&A performance, and the cross-border effect. [Tesis]. Belanda (NL): Groningen University

Maybank Kim Eng Securities. 2019. Laporan keuangan perusahaan batubara. [On Line]. From: https:// www.maybank-ke.co.id [August 03, 2019].

Pranowo K. 2010. Corporate financial distres perusahaan publik (non financial companies) di indonesia [Dissertation]. Bogor (ID): Institut Pertanian Bogor

Rahimi K, Mosavi A. 2016. Value of financial flexibility and firm’s financial policies: empirical evidence from the firms listed in tehran stock exchange. International Journal of Economic and Finance. 3(4): 207-215

Ruster J. 1996. Mitigating commercial risks in project finance. Working Paper. [On Line]. From: http:// s i t e r e s o u r c e s . w o r l d b a n k . o r g / EXTFINANCIALSECTOR/Resources/282884- 1303327122200/069ruster.pdf [November 18, 2017].

Sambasiva K. R. 2017. Impact of financial distress on the debt service coverage in ethiopia: a case of manufacturing firms. Europe Journal of Business and Management. 9(7):2222-2839

Setianto R. H. and Kusumaputra A. 2017. Corporate financial flexibility, Investment Activities, and cash holding: evidence from Indonesia. Indonesian Capital Market Review. 9(17): 75-85

S&P Global Platts. 2019. Coal prices based on index new castle (Australia). [On Line]. From: https:// www.spglobal.com/platts/en [August 01, 2019].

World Bank. 2019. Gross domestic product china. [On Line]. From: https://databank.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG/1ff4a498/Popular-Indicators [July 20, 2019].

DOI: http://dx.doi.org/10.21776/ub.jam.2020.018.02.18


  • There are currently no refbacks.