Financial Transformation of PT Indosat Ooredoo Hutchison Tbk during the Merger Period 2019-2024

Abstract

This study aims to analyze the financial transformation of PT Indosat Ooredoo Hutchison Tbk (IOH) during the merger period from 2019 to 2024 by examining changes in financial performance through ratios such as Current Ratio (CR), Debt to Equity Ratio (DER), Return on Assets (ROA), and Total Asset Turnover (TATO). The research employs a descriptive quantitative approach using secondary data obtained from official annual financial reports and reliable public financial databases, without involving interviews. Data analysis consists of comparing financial ratios before,
during, and after the merger, complemented by non-parametric statistical tests to validate the significance of performance changes. The results indicate that although there was an initial decline in performance due to integration processes, the merger
ultimately had a positive impact by improving liquidity, balancing capital structure, enhancing asset efficiency, and strengthening profitability post-merger. These findings offer important insights for stakeholders in managing post-merger financial and operational strategies, and contribute empirical evidence to the
telecommunications sector literature on the effects of mergers on financial transformation. The study recommends careful management of integration and risks to optimize merger benefits.