The Financial Performance Comparison of Acquired Companies in Indonesia

The aim of this study is to examine the impact of mergers and
acquisitions on the financial performance of acquiring companies
in Indonesia. The research was conducted on one hundred
acquiring companies that were listed on the Indonesia Stock
Exchange during the period from 2015 to 2020. A comparison was
made between the financial ratios two years before and two years
after mergers and acquisitions occurred. The variables tested are
the average differences between the two years before and two years
after mergers and acquisitions in financial ratios, including Return
on Assets, Return on Equity, Earnings per Share, and Net Profit
Margin. The sampling technique used was convenience sampling.
The data analysis method in this research involves the use of
descriptive statistical models and paired-sample t-tests using the
statistical software SPSS. The results of this research indicate that
there is an average difference in financial performance in the
variables of Return on Assets and Net Profit Margin two years
before and two years after mergers and acquisitions.