ANALYSIS OF CORPORATE PROFITABILITY BASED ON PROFITS AND COSTS: A CASE STUDY OF PT GOODYEAR INDONESIA TBK FOR THE PERIOD 2021–2025
Keywords:
Operating Expenses; Production Costs; EBIT Margin; Net Profit Margin; ProfitabilityAbstract
Profitability is one measure used to evaluate a company’s ability to generate profits, which is related to sales dynamics and cost structure. This study aims to examine the profitability of PT Goodyear Indonesia Tbk for the 2021–2025 period from the perspectives of costs and profits. The method used is quantitative descriptive analysis utilizing secondary data from the company’s annual reports and financial statements. The analysis covers cost components, sales and profit trends, as well as measurements of the Net Profit Margin (NPM) and EBIT Margin. The results of the analysis show that the company’s profitability fluctuated throughout the study period. In 2022, the company recorded an operating loss despite an increase in sales. Performance improved in 2023–2024, as evidenced by the highest EBIT Margin of 5.06% in 2023 and the highest NPM of 3.55% in 2024. Conversely, in 2025, sales declined by 11.2%, followed by a 59.8% decrease in net profit compared to the previous year. The magnitude of cost of goods sold and changes in operating expenses are factors related to these profitability dynamics. These results indicate that an increase in sales does not always correlate directly with profit growth if it is not balanced by effective cost control. Thus, this study underscores the importance of analyzing cost structure and profit margins simultaneously to obtain a more comprehensive picture of a company’s profitability trends.
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Copyright (c) 2026 Martha Eka Wahyuningtyas, Fitrotun Noor Habibah, Muchammad Rifqi Kemal Yaafi, Risky Budianto (Author)
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