Analysis of the Effect of Third Party Funds, Capital Adequacy Ratio, Non Performing Financing, Operational Expenses and Operational Income (BOPO) on the Profitability of Sharia Banks (Evidence from Indonesia)
- DOI
- 10.2991/assehr.k.211020.043How to use a DOI?
- Keywords
- Third Party Funds, Capital Adequacy Ration, Operational Income
- Abstract
This study aims to study the effect of Third Party Funds, Capital Adequacy, Non-Performing Loans, Operational Expenses and Operating Income on the profitability of Islamic banks. The sample of this study was determined by purposive sampling and obtained 12 banking companies listed as Islamic commercial banks in the Financial Services Authority (2015-2018). Data obtained from secondary data on banking company annual reports (2015- 2018). The results showed that capital adequacy and the comparison of operating expenses to operating income had a significant effect on profitability. Meanwhile, third party funds and non-performing loans have no effect on profitability. Simultaneously all independent variables have an effect on the dependent variable. Research indicates that Islamic banking requires additional capital while increasing the efficiency of its operational activities.
- Copyright
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Armanto Witjaksono AU - Junadhitya KP Natakusumah PY - 2021 DA - 2021/10/21 TI - Analysis of the Effect of Third Party Funds, Capital Adequacy Ratio, Non Performing Financing, Operational Expenses and Operational Income (BOPO) on the Profitability of Sharia Banks (Evidence from Indonesia) BT - Proceedings of the 1st UMGESHIC International Seminar on Health, Social Science and Humanities (UMGESHIC-ISHSSH 2020) PB - Atlantis Press SP - 285 EP - 291 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.211020.043 DO - 10.2991/assehr.k.211020.043 ID - Witjaksono2021 ER -