AN EVA AND MVA COMPARATIVE ANALYSIS: MEASURING VALUE CREATION OF A VERTICALLY INTEGRATED TITAN (ICBP) AND AN AGGRESSIVE EXPORTER (MYOR)

Abstract

This study aims to analyze and compare the value creation performance of two leading Indonesian consumer goods companies, PT Indofood CBP Sukses Makmur Tbk (ICBP) and PT Mayora Indah Tbk (MYOR), for the 2018–2022 period. Utilizing Economic Value Added (EVA) and Market Value Added (MVA) methods, this research evaluates the effectiveness of ICBP's vertical integration and major acquisition (Pinehill Company Ltd) strategies, as well as MYOR's aggressive exporter strategy amidst global logistics volatility. The results indicate that both companies consistently generated positive EVA, with ICBP excelling in the nominal scale of value creation while MYOR demonstrated stability through a more efficient capital structure. The findings reveal that ICBP's acquisition of Pinehill did not fundamentally degrade economic value added, despite temporary pressure on market value (MVA) due to debt risk concerns. Conversely, MYOR's MVA proved highly sensitive to global maritime logistics disruptions in 2021. This study concludes that internal operational efficiency (EVA) serves as a primary cushion in maintaining corporate value against external market sentiment pressures (MVA).