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Saudi Journal of Business and Management Studies (SJBMS)
Volume-6 | Issue-07 | 256-267
Original Research Article
The Influence of Mobile Banking, Company Size, Credit Risk on Indonesian Banking Financial Performance
Joshua Caturputra Thio, Meina Wulansari Yusniar
Published : July 27, 2021
DOI : 10.36348/sjbms.2021.v06i07.005
Abstract
The Influence of Mobile Banking, Company Size, Credit Risk on Indonesian Banking Financial Performance. Case Study on Conventional Banking Companies Listed on the Indonesia Stock Exchange 2016 - 2020. The purpose of this study is to analyze the effect of mobile banking, company’s size and credit risk on the financial performance of Indonesian banks based on Return on Assets (ROA), Return on Equity (ROE) and Operating Costs to Operating Income (BOPO) in banking companies listed on the Indonesia Stock Exchange in 2016 – 2020. The type of research used is explanatory research, with the unit of analysis in this study covering research variables consisting of Mobile Banking, company size and Credit risk or Non Performing Loan (NPL) as independent variables, Return on Assets, Return on Equity and Operating Costs to Operating Income as the dependent variable, which is obtained from the financial statements of banks listed on the Indonesia Stock Exchange for the period 2016 – 2020. The sample of this research is 20 banks. The analytical techniques used in this study are path analysis and multiple regression analysis. The results of the study indicate that mobile banking has no significant effect on the financial performance of Indonesian banks. The other independent variables measured using firm size and NPL have a significant effect on the financial performance of Indonesian banks which are measured using ROA, ROE, BOPO.
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