The Effect of Increasing Government Infrastructure Projects on the Financial Stability and Bankruptcy Risk of PT Waskita Karya (Persero) TBK

This research analyzes and discusses the financial health and bankruptcy risk of PT Waskita Karya (Persero) Tbk. using secondary financial data from the company's annual reports covering the period from 2019 to 2023. The study focuses on three critical operational metrics: collection period, days in inventory, and total asset turnover. The analysis employs various methods including the Altman Z-score, Ohlson O-Score, Grover, Springate, and Zmijewski models, alongside financial ratio analysis based on the Decree of the Minister of BUMN KEP-100/MBU/2002, to assess financial performance and bankruptcy risks. The findings reveal a decline in profitability and liquidity ratios, coupled with an increase in activity ratios during the first year of the pandemic (2020). Moreover, the consistent financial bankruptcy forecasts indicate a high risk of insolvency, highlighting the potential dangers associated with government-awarded projects and funding facilities such as Supply Chain Facilities (SCF). This research contributes to the existing literature by providing a deeper understanding of how the management of large projects by state-owned enterprises can influence their financial condition and business sustainability, offering critical insights for both practitioners and policymakers.