Financial Statement Analysis to Assess the Financial Performance of Primer Cooperative for the Period 2021–2023

Abstract

Purpose – This study aims to analyze the financial statements of Primer Koperasi Mitra Maju Jaya in order to evaluate the cooperative’s financial performance over the period of 2021 to 2023.

Methodology/approach Employing a descriptive quantitative approach and financial ratio analysis, the research examines key indicators of liquidity, solvency, and profitability. The data were derived from the cooperative’s financial reports and analyzed using the Current Ratio, Cash Ratio, Debt to Equity Ratio, Debt to Asset Ratio, Return on Assets (ROA), and Return on Equity (ROE).

Findings – The findings indicate that, based on liquidity ratios, the cooperative's financial condition during the 2021–2023 period was categorized as "highly unhealthy." In contrast, the solvency ratios reflected a "healthy" status, while the profitability ratios suggested a "moderately healthy" condition. Nevertheless, the efficiency of asset utilization remains an area requiring improvement. This study offers strategic recommendations aimed at enhancing the cooperative’s financial performance in a sustainable manner