MATRIK: JURNAL MANAJEMEN, STRATEGI BISNIS, DAN KEWIRAUSAHAAN
Volume 17 Nomor 2 Tahun 2023

Bank Profitability Analysis: the Role of Liquidity, Company Size, Asset Quality and Leverage

Ulil Hartono (Universitas Negeri Surabaya)
Desi Nurvitasari (Universitas Negeri Surabaya)



Article Info

Publish Date
07 Nov 2023

Abstract

Banks are one of the most important sectors for a country’s economic growth, so banks must be appropriately managed. The success of bank management is reflected in resulting profitability. This research aims to analyse the effect of liquidity, firm size, asset quality, and leverage on bank profitability in 2017-2021. The population in this study is 27, and the sample is 25, which was selected using purposive sampling. This study uses secondary data from Bank financial reports obtained from the bank website. The result shows that liquidity and company size did not affect profitability, while asset quality and leverage affected profitability. This research implies that manager banks must pay attention to asset quality and leverage by considering the 5C principle in assessing creditworthiness. Keyword: Asset Quality; Company Size: Leverage; Liquidity; Profitability

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Journal Info

Abbrev

jmbk

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

Matrik:Jurnal Manajemen, Strategi Bisnis dan Kewirausahaan is a scientific journal published by the Department of Management, Faculty of Economics, Udayana University which aims to publish articles of empirical and theoretical studies in the field of marketing management, finance, human resources, ...