PENGARUH GOOD CORPORATE, NET INTEREST MARGIN DAN CAPITAL ADEQUACY RATIO TERHADAP KINERJA KEUANGAN

Abstract

This study aims to examine the effect of good corporate governance, net interest margin, loan to deposit ratio, capital eduquacy ratio on financial performance (ROA). The population in this study consisted of banking sector service companies listed on the Indonesia Stock Exchange for the period 2014-2019. This type of research is quantitative research. The data analyzed is secondary data in the form of annual financial statements of banking companies taken from the STIESIA Surabaya Stock Exchange Investment Gallery (IDX). The sampling technique used purposive sampling, in order to obtain a total sample of 22 banking sector companies that meet the criteria. The analysis technique used is multiple linear regression analysis and hypothesis testing. The results of the study show that: 1) GCG (Managerial Ownership) has a significant positive effect on banking financial performance; 2) Net Interest Margin (NIM) has a significant positive effect on banking financial performance; 3) Loan to Deposit Ratio (LDR) has no effect on banking financial performance; 4) Capital Adequacy Ratio (CAR) has a significant positive effect on banking financial performance.
Keyword: good corporate, financial performance, net interest margin, capital edequancy ratio