An Analysis of Economic Value Added Method as a Tool of Measurement of Profitability Comparison (Case Study at Telecommunication Company Listed on the Indonesia Stock Exchange Period 2013–2018)
- DOI
- 10.2991/aebmr.k.200305.008How to use a DOI?
- Keywords
- Economic Value Added (EVA), Net Operating Profit After Tax (NOPAT), Capital Charges (CC)
- Abstract
This study aims to measure the profitability comparisons between the companies based on the analysis method of Economic Value Added (EVA) during the period 2013 to 2018 5 at telecommunications companies listed on the Indonesia Stock Exchange (IDX). The method used is descriptive analysis using time series data. The results of this study indicate that there is profitability comparison between telecommunications companies namely PT. Telekomunikasi Indonesia Tbk where its profitability is better that the value of EVA during six years is positive or EVA > 1 compared to other telecommunications Therefore, it can be said that PT. Telekomunikasi Indonesia Tbk. The poorest profitability of the company is PT. Smartfren Telecom Tbk, thus, the additional value for the company has not reached perfectly. Moreover, it can be seen that between PT. Telekomunikasi Indonesia Tbk and PT. Smartfren Telecom Tbk. have significant differences due to the level of profitability at PT. Smartfren Telecom Tbk. that is worse than PT. Telekomunikasi Indonesia Tbk, which continues to generate positive EVA every year due to a better profit level.
- Copyright
- © 2020, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Aoliyah Firasati PY - 2020 DA - 2020/03/16 TI - An Analysis of Economic Value Added Method as a Tool of Measurement of Profitability Comparison (Case Study at Telecommunication Company Listed on the Indonesia Stock Exchange Period 2013–2018) BT - Proceedings of the 1st International Conference on Accounting, Management and Entrepreneurship (ICAMER 2019) PB - Atlantis Press SP - 29 EP - 32 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.200305.008 DO - 10.2991/aebmr.k.200305.008 ID - Firasati2020 ER -