THE EFFECT OF BUSINESS REVENUE AND TOTAL ASSETS ON OPERATING CASH FLOW AT PT GARUDA INDONESIA

Abstract

This study aims to analyze the effect of business revenue and total assets on operating
cash flow at PT Garuda Indonesia (Persero) Tbk from 2015 to 2024. The research
method employed is a descriptive quantitative approach, utilizing a documentary
study method and secondary data from the company's annual financial reports, which
were obtained through the official website of PT Garuda Indonesia and the Indonesia
Stock Exchange. Data analysis was performed using multiple linear regression with
SPSS version 25 software, accompanied by classical assumption tests to ensure the
validity of the model. The results show that business revenue and total assets have a
positive relationship with operating cash flow; however, neither has a significant
effect, either partially or simultaneously. The coefficient of determination (R²) value
of 0.143 indicates that only 14.3% of the variation in operating cash flow can be
explained by these two variables, while the rest is influenced by other factors such as
operating costs, long-term debt, and cash management efficiency. These findings
indicate that an increase in revenue and assets is not sufficient to strengthen a
company's operating cash position. Therefore, efforts to improve efficiency in asset
management and cash control strategies are needed so that the revenue obtained can
contribute optimally to the stability of the company's operating cash flow