ANALYSIS INFLUENCE OF WORKING CAPITAL ON PROFIT OF PT BUMI RESOURCES TBK (2020 TO 2023)

Abstract

This study aims to analyze the effect of working capital on the profitability of
PT Bumi Resources Tbk during the 2020–2023 period. Working capital is an essential factor in maintaining operational continuity and determining a company’s profitability level. The research period covers the Covid-19 pandemic and the subsequent economic recovery phase, during which external conditions significantly affected the financial performance of the mining sector. The data used are secondary
data obtained from the annual financial statements of PT Bumi Resources Tbk
published by the Indonesia Stock Exchange (IDX). The research method employed is descriptive quantitative analysis to evaluate the relationship between working capital efficiency and net income. The results show that during 2020–2021, working capital management was less efficient due to the pandemic’s impact, resulting in lower profitability. However, in 2022–2023, the company achieved significant improvement
in working capital efficiency and profit growth, supported by global economic
recovery and rising coal prices. This study concludes that effective working capital
management has a positive influence on the profitability of PT Bumi Resources Tbk. Efficient utilization of working capital enhances liquidity, operational efficiency, and long-term financial performance.