The Effect of Net Interest Margin (NIM) and Operational Costs Operating Income (BOPO) on Return on Assets (RoA) at PT. Bank Rakyat Indonesia, Tbk

Eni Puji Astuti,Farah Maulia Husna

doi:10.26858/pdr.v2i1.13210

Abstract

Banks are known as financial institutions whose main activities are collecting funds from the public, channeling funds to the public, and performing other services in the banking sector. The purpose of this study was to determine the effect of Net Interest Margin (NIM) and Operational Income Operating Costs (BOPO) Against Return On Assets (ROA). The sample of this study is the financial statements of PT. Bank Rakyat Indonesia (Persero) Tbk. from 2008 to 2017, this research uses the Multiple Linear Regression Analysis method using an SPSS test. The results showed that Net Interest Margin has a positive effect on Return On Assets, with a tcount greater than ttable (3.021> 2.365) and a significance level of 0.019 less than a significant level of 0.05 (0.019 <0.05) and Operating Income Costs Operations have a negative effect on Return On Assets, with a tcount greater than ttable (-7,166> 2,365) and a significance level of 0,000 less than a significant level of 0.05 (0,000 <0.05). Net Interest Margin (NIM) and Operational Costs Operating Income (BOPO) has a positive effect on Return On Assets (ROA), with a Fcount greater than Ftable (26.298> 4.46) and a significance level of 0.001 smaller than a significant level of 0, 05 (0.001 <0.05). The coefficient of determination that can be equal to 0.849 or 84.9% means as much as 15.1% is likely influenced by variables not examined.

Highlights

The role of banks in a country becomes the driving force of a country's economy (Arifin, 2009; Danupranata, 2013; Idroes, 2008)
Based on the test results, it is known that the sig value for the effect of X1 on Y is 0.019 Ttable 2.365 so that it can be concluded that H1 is accepted, which means there is a significant influence between Net Interest Margin on Return on Assets
Based on the above output it is known that the sig value for the effect of X1 and X2 simultaneously on Y is 0.001 Ftable 4.46 so it can be concluded that H3 is accepted which means there is a significant influence between Net Interest Margin (NIM) and Operating Costs Operating Income (BOPO) simultaneously against Return On Assets (ROA)

Summary

INTRODUCTION

The role of banks in a country becomes the driving force of a country's economy (Arifin, 2009; Danupranata, 2013; Idroes, 2008). Banks are known as financial institutions whose main activities are collecting funds from the public, channeling funds to the public, and performing other services in the banking sector (Sunarsi, 2017). Indicators commonly used to measure the level of profitability of a company are Return on Equity (ROE) for companies in general and Return On Assets (ROA) in the banking industry. Both can be used in measuring the magnitude of financial performance in the banking industry. Not a few banks whose profitability levels tend to be low, due to developmental factors, increasingly fierce competition, or even bank management factors in poor operation and poorly controlled financial management so that many banks cannot survive and develop into bigger ones.

AND DISCUSSION

CONCLUSION