DETERMINAN PERSISTENSI LABA : VOLATILITAS ARUS KAS, VOLATILITAS PENJUALAN DAN TINGKAT UTANG

Abstract

This study aims to assess the influence of cash flow volatility, sales volatility, and debt levels on profits persistence in mining companies listed on the Indonesia Stock Exchange from 2019 to 2022. The study's findings indicate that elevated debt levels considerably diminish profits persistence, but heightened sales volatility substantially enhances it. In contrast, cash flow volatility does not significantly affect profits persistence. This result underscores the necessity of sustaining continuous sales to preserve the company's profitability potential through predictable cash flows. The company's ability to operate profitably may be hindered by substantial corporate debt levels. This study enhances comprehension of the factors influencing earnings quality in the mining sector.