The purpose of this study is to  determine whether operating leverage  and financial leverage have any impact toward profitability. This study was conducted on banking companies listed in the Indonesia Stock Exchange from 2013 to 2015. From the population of 30 banking companies, ten of them were selected as the sample. The data were analysed using multiple linear regression analysis. The result of this study reveals that degree of operating  leverage  and  degree  of financial leverage simultaneously  influence return  on equity significantly (0,001 < 0,05). Partially, degree of operating leverage has a negative and significant impact on return on equity (0,001 < 0,05), and degree of financial leverage does not have any significant impact on return on equity (0,061 > 0,05).Key Word: capital, profitability, operating leverage, financial leverage, return on equity.
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