The Impact of Financial Ratios, Operational Efficiency and Non-Performing Loan Towards Commercial Bank Profitability

Christaria, Fiola; Kurnia, Ratnawati

doi:10.35609/afr.2016.1.1(6)

Cited by 24 publications

(21 citation statements)

References 3 publications

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“…The articles that analyze the relationship between profitability and efficiency in the banking sector are vast. The relationship between these indicators is inversely significant, indicating that the higher the profitability, the efficiency indicators tend to be lower (Buchory, 2015;Christaria & Kurnia, 2016;Phan et al, 2020). In Mexico, the literature that addresses this relationship is scarce.…”

Section: Source: Own Elaborationmentioning

confidence: 99%

The effect of banking channels and efficiency indicators on bank profitability

González¹,

Figueroa

Torre-Torres

2023

myn

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This article proposes two models to analyze profitability banking. Using panel data methodology it’s analized the relationship between operational efficiency indicators and banking access channels alternative to the branch with ROA and ROE. The main findings are that Net Operating Margin (MNO) has a direct relationship. Net noninterest Margin (MNNI) and Asset Utilization (RA) have a negative impact on ROA. Regarding access channels, Automatic Teller Machines (ATMs) have a positive, albeit weak, impact. Point of Sale Terminals (POS) are significant but in reverse. As for ROE, MNO and MNNI are related in the same sense as ROA. The Capital Multiplier (MC) presents a negative relationship. Mobile Banking (NBM) and POS show a significant inverse relationship, while ATM is direct.

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Section: Source: Own Elaborationmentioning

confidence: 99%

The effect of banking channels and efficiency indicators on bank profitability

González¹,

Figueroa

Torre-Torres

2023

myn

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“…Semakin tinggi biaya operasi, semakin kecil profitabilitas perusahaan." Penelitian mengenai pengaruh BOPO terhadap ROA yang dilakukan oleh Al-Yatamai et al (2020), Christaria (2016), Sukmadewi (2020) menemukan, "BOPO memiliki pengaruh negatif dan signifikan terhadap profitabilitas" H2: Risiko Operasional berpengaruh negative terhadap Profitabilitas "Risiko Likuiditas adalah Risiko akibat ketidakmampuan Bank untuk memenuhi kewajiban yang jatuh tempo dari sumber pendanaan arus kas dan/atau dari aset likuid berkualitas tinggi yang dapat diagunkan, tanpa mengganggu aktivitas dan kondisi keuangan Bank. Dalam penelitian ini risiko likuiditas diproksikan oleh rasio LDR yang membandingkan antara total kredit yang disalurkan dengan total Dana Pihak Ketiga (DPK) yang dihimpun oleh bank.…”

Section: Pendahuluanunclassified

Pengaruh Risiko Kredit, Risiko Operasional, Dan Risiko Likuiditas Terhadap Profitabilitas LPD Di Kecamatan Bebandem

Juliantara¹,

Darmayanti²

2022

EJMUNUD

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Profitability is a ratio that can assess how the VCI's ability to generate profits is. The high profitability of the LPD indicates a good VCI performance. This study aims to determine the effect of credit risk, operational risk, and liquidity risk on profitability. This research was conducted at the VCI in the District of Bebandem, Karangasem Regency, Bali 2015-2019. The data collection method used is a non-behavioral observation method with multiple linear regression data analysis techniques. The results of the study indicate that credit risk has a negative and significant effect on profitability. Operational risk has negative and significant effect on profitability. Liquidity Risk has positive and significant effect on Profitability. VCI profitability can be maximized by applying the principle of prudence, monitoring and supervising VCI operations to minimize expenses and provide sufficient liquidity and balanced with good credit distribution. Keywords:, Credit Risk, Operational Risk, Liquidity Risk, Profitability.

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“…Operational costs are calculated based on the sum of the total interest expense and other total operating expenses. Operating income is the sum of the total interest income and the total other operating income [17].…”

Section: Operational Efficiency Ratio (Bopo)mentioning

confidence: 99%

The Effect of Return on Asset (ROA), Operational Efficiency Ratio (BOPO), Inflation, Credit Interest Rate and Gross Domestic Product (GDP) towards Murabahah Financing in Sharia Banking in Indonesia (2016-2019)

Yamin¹

2022

AJEBA

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Aims: This article focuses on discussing the effect of Return on Assets (ROA), Operational Efficiency Ratio (BOPO), Inflation, Credit Interest Rates, and Gross Domestic Product of Murabahah Financing in Sharia banking in Indonesia for the 2016-2019 period. Study Design: Descriptive quantitative research is used with financial reports from Indonesian Sharia banking in 2016-2019 involved. Place and Duration of Study: It obtains 13 sharia banking in Indonesia from 2016-2019 financing data. Methodology: Through descriptive research, the researcher will explain whether Return on Assets (ROA), Operational Efficiency Ratio (BOPO), Inflation, Credit Interest Rates, and Gross Domestic Product of Murabahah Financing in Sharia banking in Indonesia influence each other. The data analysis technique in this study uses multiple regression with the help of the SPSS 25 application. Results: In accordance with the results of the f test, all independent variables, namely ROA, BOPO, inflation, CIR and GDP have a significant effect simultaneously on Murabahah financing. The results of the t-test explain that ROA has a significant positive effect on Murabahah financing, BOPO has no effect on Murabahah financing, inflation has a significant positive effect on Murabahah financing, CIR has a significant negative effect on Murabahah financing, and GDP has a significant positive effect to Murabahah financing. Conclusion: According to the research conducted above, it can be concluded that the ability to explain the independent variable on the Murabahah financing variable is 59.4%. Other than that, other research that involves other variables and longer data need to be conducted to know more what affect muharabah financing in Indonesia.

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The Impact of Financial Ratios, Operational Efficiency and Non-Performing Loan Towards Commercial Bank Profitability

Cited by 24 publications

References 3 publications

The effect of banking channels and efficiency indicators on bank profitability

The effect of banking channels and efficiency indicators on bank profitability

Pengaruh Risiko Kredit, Risiko Operasional, Dan Risiko Likuiditas Terhadap Profitabilitas LPD Di Kecamatan Bebandem

The Effect of Return on Asset (ROA), Operational Efficiency Ratio (BOPO), Inflation, Credit Interest Rate and Gross Domestic Product (GDP) towards Murabahah Financing in Sharia Banking in Indonesia (2016-2019)

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