ANALISIS KINERJA BANK UMUM KONVENSIOANAL YANG TERDAFTAR DI BURSA EFEK INDONESIA

Abstract

The banking industry is one of the important sectors in the economy. To discover whether a bank is in good or bad condition, it can be seen how the bank's financial performance. The bank's financial performance describes the extent to which the bank is performing its operational activities. This study analyzes the effect of Capital Adequacy Ratio, Third Party Funds, Non-Performing Loans and Debt to Equity Ratio on bank profitability as measured using return on assets as a proxy for bank financial performance. The population of this study is all conventional commercial banks listed on the Indonesia Stock Exchange during the 2017–2020 period. The analysis technique was multiple linear regression analysis. The results of the analysis show that simultaneously the independent variables simultaneously have a significant effect on the dependent variable. Partially, the capital adequacy ratio has no effect on return on assets, third party funds and debt to equity ratios have a positive effect on return on assets, non-performing loans have a negative effect on return on assets.