This study aims to test and analyze the influence of risk management on financial performance in banking sector companies listed on the Indonesia Stock Exchange. This study uses a quantitative approach with secondary data. The study population consisted of 47 banking companies, with a sample of 19 companies selected using purposive sampling techniques over five years, resulting in 95 data observations. The analysis methods used include multiple linear regression, F test, t test, and determination coefficient. The results of the study show that risk management has a significant effect on financial performance. Partially, credit risk and liquidity risk have a positive and significant effect on financial performance, while operational risk has a negative and significant effect on financial performance. A determination coefficient (R²) value of 32.2% indicates that variations in financial performance can be explained by risk management variables, while the rest is influenced by other factors outside the research model.
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