THE EFFECT OF BANK'S HEALTH RATIO, CAPITAL STRUCTURE, COMPANY SIZE AND FINANCING FOR RESULTS ON PROFITABILITY OF SHARIA BANKS

Abstract

This Study aims to examine the effect of bank health ratio, capital structure, company size and profit sharing financing on profitability. This analysis uses independent variabels namely CAR, KAP, NPF, BOPO, FDR, IRR, DER, Company Size and profit sharing financing, whereas independent variabels are in ROA.

The sample of this study is 11 Islamic Commercial banks registered with the Otoritas Jasa Keuangan (OJK). Samples were taken by purposive sampling method. Data collection is done by finding the data needed through the publication’s financial statements on the OJK website. The statistical method used is multiple linear regresion analysis with SPSS25 software.

The results showed that the CAR, KAP, NPF, and IRR variables partially had no effect on ROA, while the BOPO,DER,FDR, Company Size, Profit Sharing Financing partially affected ROA. Simultanneously variables CAR, KAP, NPF, BOPO, FDR, IRR, Company Size, Profit Sharing Financing have an effect on ROA.