THE EFFECT OF FINANCIAL DISTRESS ON COMPANY VALUE WITH DISCLOSURE OF MANAGEMENT POLICIES RELATED TO COVID-19 AS A MODERATION

ABSTRACT:Corona Virus Disease-19 (Covid-19) has had a huge impact. One of the most felt impacts is theperformance of the Indonesia Composite Index (ICI) during 2020 which is quite volatile. That kind of ICIcondition indicates that the value of companies listed on the Indonesia Stock Exchange (IDX) is not in optimalcondition. This study makes the disclosure of management policies related to Covid-19 as something that is ableto moderate the relationship between financial distress and firm value. Quantitative approach with the type ofexplanatory research as the associative is used in this research. This study used 38 listed emittens from theproperty, real estate & building sectors during 2020. The result of this research is able to prove that the firmvalue during the current pandemic is influenced by financial distress and the disclosure of management policiesrelated to Covid-19 is able to moderate the relationship between financial distress and firm value.

KEYWORDS:financial distress, management disclosure, value