The Effect of Current Ratio (CR) and Debt to Equity Ratio (DER) on Return on Assets (ROA) of PT Aneka Tambang Tbk from 2020 to 2024

Abstract

This study aims to analyze the effect of Current Ratio (CR) and Debt to Equity Ratio
(DER) on Return on Assets (ROA) at PT Aneka Tambang Tbk during the period 2020
2024. The background of this study is based on the importance of liquidity
management and capital structure in determining the profitability of mining
companies operating amid global commodity price fluctuations. This study uses a
descriptive-verificative quantitative approach with secondary data sourced from the
annual financial reports (Annual Report) of PT Aneka Tambang Tbk. Data analysis
was performed using multiple linear regression, with a series of classical assumption
tests such as normality, multicollinearity, heteroscedasticity, and autocorrelation tests.
The results show that, partially, the Current Ratio (CR) does not have a significant effect
on Return on Assets (ROA), with a t-value of 1.558 and a significance of 0.158 (> 0.05).
Conversely, the Debt to Equity Ratio (DER) has a significant effect on ROA, with a t
value of 5.504 and a significance of 0.001 (< 0.05). Simultaneously, both variables have
a significant effect on ROA, with an F value of 4.294 and a significance of 0.072 (< 0.05).
The coefficient of determination (R²) of 0.85 5 indicates that 85.5% of the variation in
ROA can be explained by CR and DER, while the rest is influenced by other factors
outside the model. These results support Signaling Theory, Trade-Off Theory, and
Pecking Order Theory, which confirm that the balance between liquidity and capital
structure is an important factor in increasing the profitability of mining companies.