FINANCIAL PERFORMANCE OF PT TANAH LAUT TBK AMID INDONESIA’S ENERGY INDUSTRY DYNAMICS

Abstract

This study aims to analyze the financial performance of PT Tanah Laut Tbk amid the evolving dynamics of Indonesia’s energy industry, which is increasingly pressured by sustainability demands and structural transitions toward renewable energy. Using a descriptive quantitative approach, the research evaluates the company’s financial condition from 2015 to 2024 through four categories of financial ratios: profitability, liquidity, solvency, and activity ratios. Data were obtained from audited annual reports published by PT Tanah Laut Tbk and the Indonesia Stock Exchange (IDX). The findings indicate that the company maintained relatively stable profitability, with Net Profit Margin (NPM), Return on Assets (ROA), and Return on Equity (ROE) showing moderate fluctuations but demonstrating operational recovery and strengthened efficiency between 2017 and 2022. Liquidity ratios, reflected in the Current Ratio (CR) and Quick Ratio (QR), consistently remained above 1.0, suggesting sound short-term financial resilience. Solvency analysis showed an increasing reliance on debt until 2021, followed by gradual deleveraging that indicates improved financial risk management. Activity ratios remained stable over the decade, signaling efficient utilization of assets in generating revenue. Overall, the study concludes that PT Tanah Laut Tbk has sustained stable financial performance despite external market volatility and sectoral challenges. These results contribute to the limited literature on smaller coal-based energy companies in Indonesia and provide practical insights for investors, policymakers, and corporate managers regarding financial sustainability in transitioning energy industries.