The Influence of Future Cash Flow Predictions on Profits in Companies Listed on the Indonesia Stock Exchange

This research was conducted to determine the effect of future cash flow predictions on profits (gross profit, operating profit, and net income) in food and beverage companies listed on the Indonesia Stock Exchange. The method used in this research used purposive sampling with a population of food and beverage companies listed on the Indonesia Stock Exchange for the period 2016-2018. The samples in this research were 19 companies. The results obtained indicate that the operating profit variable has a partial effect on future cash flows, while the net income variable and the gross profit variable do not partially affect future cash flows. Simultaneously, gross profit, operating profit and net income have an effect on future cash flows.


INTRODUCTION
Cash flow is a financial report that contains the influence of cash and operating activities, investment transaction activities and financing transaction activities as well as net increase or decrease in a company for a period (Setiawati, 2018). Cash inflows are reports of cash receipts originating from routine company activities, for example sales of company assets, cash sales. Cash outflows are reports of continuous expenses, such as dividends, tax payments and interest payments. Cash flow takes place continuously as long as the company carries out its activities.
Since the issuance of PSAK No. 2 of 1994 which was established starting January 1, 1995, cash flow statements have become an integral part of the financial statements and have become an obligation for companies to prepare cash flow statements and provide cash flow information of cash equivalents (Hans Kartikahadi 1994: 24). Prediction of future cash flows. can be achieved if investors have information relating to the company. To get the maximum profit and the certainty of the profit results, it is necessary to first evaluate the company's performance. Users of financial statements are expected to be able to predict the company's performance to get profit (cash and cash equivalents) well if they get accurate information on the financial position and changes in the company's financial position and cash flow statements (Shofiahilmy Rispayanto, 2019: 2).
Noor Shodiq Askandar's research (2019) shows that gross profit and net profit have a significant effect, while operating profit has a negative effect in predicting future cash flows. Meanwhile, Helda Yulia Siska's research (2016) shows that operating cash flow and operating profit have a positive effect in predicting future cash flows, while operating working Volume 02, Issue 01, September-December 2020 capital has a negative effect in predicting future cash flows. Research by Nining Mulyaningsih and Dwi Rahayu (2016) shows that there is a significant positive effect between net income and operating cash flow on dividend policy.
From the explanation above, the researcher is interested in conducting research with the theme "The Influence of Future Cash Flow Predictions on Profits in Companies Listed on the Indonesia Stock Exchange". By using the financial report data of the food and beverage industry go public during 2016-2018.

LITERATURE REVIEW Cash Flows
Cash flow is a financial report that contains the influence of cash and operating activities, investment transaction activities and financing transaction activities as well as net increase or decrease in a company during a period (Setiawati, 2018). Cash inflows are reports of cash receipts that come from routine company activities, for example sales of company assets, cash sales. Cash out flows are reports of expenditures that are continuous in nature, such as dividends, tax payments and interest payments. Cash flow takes place continuously as long as the company carries out its activities. The cash flow statement is classified according to three activities, namely, operating activities, investing activities, and financing activities. (Samryn, 2015) Meanwhile, according to Nelson Lam, Peter Lau (2015) in the cash flow statement, cash receipts and payments are classified according to three main categories, namely: a. Operating activities, operating activities that come from cash flows include: cash payments to goods and services agents, cash receipts from the sale of goods and services, cash obtained from commissions, royalties and other income, cash payments for the benefit of employees. b. Investing activities, investing activities include: cash payments to acquire fixed assets, cash receipts from sales of intangible assets and long-term assets, cash payments to recognize the capital and debt instruments of other entities, cash receipts from sales of capital or debt instruments from entities other. c. Funding activities, among others: cash obtained from issuance of shares, cash obtained from issuing bonds, loans, debt and other short and long term loans, repayment of cash loans that have been issued.

Gross Profit
Gross Profit is a measure of a company's direct income on sales of its products during an accounting period. Gross profit equals net sales less cost of goods sold (July, 2019). According to Muhamad Ardi (2018) Gross profit is the difference between net sales and the cost of goods sold. Credit sales prove that there is an opportunity for incoming cash to be received from customers to predict the company in the future. This proves that the value contained in gross profit often allows for an influence in predicting future operating cash flows. It can be shown that the gross profit figure is a provision of information that can be used in predicting future operating cash flows as well as meeting the information needs for users of financial statements to make decisions.

Operational Profit
Operating Profit, according to Ainiyah, is all income and expenses as well as profits and losses that come from transactions related to activities, especially and outside of sales (Ainiyah, 2018). Menurur Nina Herlina (2019) Operating profit is realized income that arises during a one year period with related costs. So that operating profit is the difference between Volume 02, Issue 01, September-December 2020 27 23 23 gross profit and operating expenses. The results of operating profit can be calculated from income minus expenses related to company operations, such as salary expenses, advertising expenses, depreciation, administrative expenses and others. These expenses are not fully related to the company's operating profit and are also still influenced by company policy. Where the company's operating expenses increase, the company's operating profit has decreased. Thus, the payment for company operating expenses increases and results in a decrease in cash originating from the company's operating activities. Profitable operating activities will result in cash receipts exceeding the amount invested and consequently will increase cash inflows.

Net Profit
Net income is the value of profit or excess income from trading activities in a certain period, where the value has been reduced by income tax expense. Net profit (Net Profit) is the profit that has been deducted by costs which are the company's expenses in a certain period including taxes (Kasmir, 2016). According to Wowor (2014) Net income is the excess of all income over all expenses for a certain year after deducting income tax which is presented in the form of an income statement. The improvement between net income and operating cash flow can make it easier for financial statement users to predict future cash flows, through prediction of profit. Thus, it can be indicated that the net income figure can help users of financial statements to predict future operating cash flows.

RESEARCH METHOD
This research uses secondary data, the data used in this study are financial statements of food and beverage companies listed on the Indonesia Stock Exchange (IDX) which include income statements and cash flow reports related to the object of research. The data is quantitative, because it uses numbers that show the value of the variables for which there are sources of research data that are differentiated into 2, namely secondary data sources and primary data sources (Sugiyono). The populations in this research were food and beverage companies listed on the Indonesian stock exchange during 2016-2018. The sampling technique used in this research is non-probability sampling with the technique taken, namely purposive sampling. The criteria for research are food and beverage companies listed on the Indonesian stock exchange in 2016-2018, these companies publish financial reports consistently, and are able to prove the condition of profits during 2016-2018. The operating profit variable has the lowest value of 9.47, the highest value of 13.77, the average value of 11.8223 and the level of data distribution of 0.97514.

2) Net Profit (X2)
The net income variable has the lowest value of 8.57, the highest value of 13.72, the average value of 11.4241 and the level of data distribution of 0.92911.

3) Gross Profit (X3)
The gross profit variable has the lowest value of 6.29, the highest value of 13.70, the average value of 11.6100 and the level of data distribution of 1.21160.

4) Cash Flow (Y)
The cash flow variable (Y) has the lowest value of 8.96, the highest value is 13.32, the average value is 11.101 and the level of data distribution is 11.19636 The Result of Classical Assumption Test Normality Test The multicollinearity test in table 3 above shows that operating profit, net income and gross profit have a VIF value and a tolerance value where the VIF value must be greater than 0.10 and the teleranca value must be below 10, the following can be explained below. this: a) Operating profit (X1) In the operating profit variable (X1), the result is a tolerance value of 0.248> 0.10 and VIF of 4.035 <10, which means that there is no multicollinearity. b) Net income (X2) The Heteroscedasticity test results in table 5 above prove the following: a) Operating Profit (X1) In the operating profit variable (X1) a significance value of 0.353> 0.05 means that there are no symptoms of heteroskesasticity. b) Net Profit (X2) In the Net Income variable (X2), the significance value is 0.516> 0.05, which means that there are no symptoms of heteroskesasticity. c) Gross Profit (X3) In the gross profit variable (X3), the significance value is 0.289> 0.05, which means that there are no symptoms of heteroskesasticity.

Hypothesis Testing Results
Multiple Regression Analysis If the constant (a) of all independent variables has a value of zero (0), the value of the dependent variable (Beta) is 1.957. b) Operating Profit (X1) against beta (Y) The operating profit coefficient value for variable X1 is 0.699. This means that for each one unit increase in operating profit, the Beta (Y) variable will increase by 0.699 with the assumption that the other independent variables of the regression model are fixed. c) Net Income (X2) against beta (Y) The net profit coefficient value for variable X2 is 0.226. This means that every one unit increase in net income, the Beta (Y) variable will increase by 0.226 with the assumption that the other independent variables from the regression model are fixed. d) Gross Profit (X3) against beta (Y) The value of the gross profit coefficient for variable X3 is 0.104. This implies that every one unit increase, the Beta (Y) variable will increase by 0.104 with the assumption that the other independent variables of the regression model are fixed. The coefficient of determination test results is carried out to determine how much the dependent variable can be explained by the independent variable. The coefficient of determination test results show the Adjusted R Square number of 0.617 or 61.7%. This means that the contribution of net income, operating profit and gross profit to cash flow is 61.7% and the remaining 38.3% is influenced by other variables.

CONCLUSION
Based on the description above, it can be concluded that this study shows that the operating profit variable has a partial effect on future cash flows, while the net profit and gross profit variables do not have a partial effect on future cash flows. Simultaneously, gross profit, operating profit and net income have an effect on future cash flows.