PENGARUH KECUKUPAN MODAL, EFISIENSI OPERASIONAL DAN DIVERSIFIKASI PENDAPATAN TERHADAP FINANCIAL SUSTAINABILITY

Abstract

Purpose –this study aims to gather empirical information on the factors that impact Financial Sustainability. The study emphasizes financial sustainability as the dependent variable, with capital adequacy ratio, operational efficiency, and revenue diversification as the independent variables. This research focuses on analyzing conventional and sharia general banking sub-sector companies that are publicly traded on the Indonesia Stock Exchange between 2020 and 2022 Design/methodology/approach – The sample method employs the purposive sampling strategy. This study employs multiple regression analysis with the SPSS 22 application as a data analysis framework. The research criteria covered a total of 40 commercial banks, comprising both conventional and Islamic banks, based on the processed data. The research data is derived from secondary sources. Findings – Based on results of this study, it was found that the capital adequacy and revenue diversification positively impact financial sustainability, however operational efficiency has a negative impact on financial sustainability. Research limitations/implications – For the conclusions that have been put forward, researchers can provide some suggestions for improving the quality of further research. The suggestions proposed by the researcher include adding the number of other variables that are expected to affect the financial sustainability, then the company is advised to pay attention to the factors that affect its financial sustainability.