ROE Ratio Research Articles

Assessing the Productive Power of Companies with Profitability Ratios

Productivity assessment is classified as an important aspect in measuring the operational success of a company whose implementation has not been optimally implemented by some companies in Indonesia, even in the world. The purpose of this qualitative-descriptive study is to analyze the level of profitability in assessing company productivity at CV Sinar Surya Parepare Branch-South Sulawesi. This study involves the company's financial statements as research objects obtained through documentation techniques. The observation period in this study takes five periods, namely 2017 to 2021. These findings inform that the analysis of ROA and ROE ratios does not provide guarantees for increasing company productivity. However, through this analysis, the level of efficiency in the use of company resources can be directly identified. On the other hand, through this efficiency encourages increased company productivity. Following up on the findings of this study, an assessment of company productivity must be carried out on an ongoing basis through the analysis referred to in this study combined with other assessment models.

Financial Performance dan Financial Distress Perusahaan Transportasi Sebelum dan Selama Pandemi Covid-19

Currently, various countries have been hit by the Covid-19 outbreak, one of which is Indonesia. In this case, the government is trying to implement various policies to prevent the transmission of the epidemic. One of them is a major social disaster (PSBB) which resulted in a decrease in the number of passengers for transportation companies due to limited community mobility. This has an effect on increasing income so that it also affects the company's financial condition. Both in terms of financial performance with the ratios used, namely ROA, ROE, and NPM as well as the potential to experience financial distress with the Springate model, so it is necessary to conduct research to test and analyze financial performance and financial difficulties in transportation companies before and congratulations on the covid-19 pandemic. Because this will have an impact on stakeholder decisions in decision making caused by the presence or negative information from the company's financial condition. So in this case, a different test was carried out on the second variable above to see the difference before and during the covid-19 pandemic. The results of the Wilcoxon signed ranks test on the ROA, ROE, and NPM ratios, because the data are not normally distributed have very significant results, and the paired sample t-test because the data is normally distributed in the springate model has very significant results. So, there is a difference between before and during the covid-19 pandemic in transportation companies in terms of financial performance and financial distress.

Impact of Liquidity and Solvency on Profitability- An Empirical Analysis of the Pharmaceuticals and Chemicals Sector of Bangladesh

This study evaluates the impact of liquidity and solvency on profitability using a sample of 29 Dhaka Stock Exchange (DSE)- listed pharmaceutical and chemical companies. Companies’ financial statements from 2017 to 2021 were used to collect the secondary data. Descriptive statistics and linear regression were used. The regression findings reveal that there is no significant relationship between liquidity (current ratio, acid-test ratio) and profitability as measured by ROE and ROA. The relationship between solvency (debt-to-equity, debt-to-assets) and profitability as measured by ROE and ROA is statistically significant. Current ratio, debt-to-equity, debt-to-assets have positive impact on ROE and acid-test ratio has negative impact on ROE. The other part of the result concluded that acid-test ratio, debt-to-equity have positive impact on ROA and current ratio, debt-to-assets have negative impact on ROA.

Financial Performance of Bank Syariah Indonesia (BSI) Before and After Merger

As mergers can play a crucial role in enabling sharia banks to withstand intense competition, assessing their financial performance before and after a merger can provide valuable insights.. Therefore, this study analyzes the financial performance before and after the merger at Bank Syariah Indonesia. In analyzing the data, the comparative descriptive method was used by comparing the financial statements and the Good Corporate Governance report of Bank Syariah Indonesia for one year. The Risk-Based Bank Rating (RBBR) method, which includes four assessment factors, namely Risk Profile, Good Corporate Governance, Earning, and Capital (RGEC), was applied to assess the performance of the bank using NPF, FDR, GCG, ROA, ROE, NIM, BOPO, and CAR ratios. The data analysis used descriptive statistics, Shapiro-Wilk, and Wilcoxon Signed Rank Tests. Based on the analysis, the percentage difference in the BOPO and NIM ratios was the largest and lowest, which were 6.16% and 0.08%. Furthermore, there was a significant difference in the financial performance of Bank Syariah Indonesia before and after the merger, which became increasingly healthy. This study has implications for bank assessment policies, as it highlights the need to consider various factors to assess the output scale produced in the bank.

Pengaruh Pandemi COVID-19 Terhadap Kinerja Keuangan Perbankan

This research was conducted to analyze are differences in conventional banks quarter II before and during the pandemi COVID-19 based on the total asset turnover ratio, NPM ratio, LDR ratio, and ROE ratio. This research uses descriptive quantitative methods by a comparative approach, because the data used was numbers and analyzed using statistic. This research is of a comparing two or more of the properties and objects that are scruntinized in a particular framework of thought. This research uses the quarterly II 2019-2021 finance report data. The research population was taken from a registered private bank in OJK (Otoritas Jasa Keuangan). Statistical methods used are descriptive and paired t-test. This research shows that (1) total asset turnover have no difference fiinancial performance before and during pandemi COVID-19. (2) NPM have difference financial performance before and during pandemi COVID-19. (3) LDR have no difference financial performance before and during pandemi COVID-19. (4) ROE have difference financial performance before and during pandemi COVID-19

Pengaruh ROE dan DER terhadap Harga Saham pada Perusahaan Sektor Pertambangan Minyak & Gas yang Terdaftar di BEI Periode 2016-2020


 Indonesia is a country with a large population, which will result in a fairly large level of energy demand and one of them is the need for oil and gas. In conditions of global instability and limited supplies of oil and gas resources, this will also have an impact on the condition of companies in this sector in Indonesia. This study aims to examine, identify, and analyze the effect of the ROE and DER ratios on stock prices in oil and gas mining companies listed on the Indonesia Stock Exchange for the 2016-2020 period. The research method used is descriptive verification, and the number of samples taken from the population is 6 out of 13 companies. The sampling technique used is purposive sampling and uses multiple linear regression analysis tools and uses SPSS analysis tools with the results of DER not having an effect on stock prices and ROE having an effect on stock prices and DER and ROE simultaneously having an effect on stock prices.
 Keywords: Return on Equity; Debt to Equity Ratio; Stock Price

EARNINGS MANAGEMENT AND FIRM’S SUBSEQUENT PERIOD PERFORMANCE: A STUDY ON NON-FINANCIAL INDIAN LISTED FIRMS

While studies internationally have found an association between earnings management and the firm’s future performance, there is limited literature concerning Indian firms. Prior research in the Indian context has revealed the existence of opportunistic accruals management. However, its impact on a firm’s future performance remains unexplored. Thus, this study examines the impact of accrual-based earnings management on future performance among listed non-financial Indian firms. This study estimates accruals management proxies for 2006-2017 using the widely accepted modified-Jones model of discretionary accruals. Firm performance is measured using ROA, ROE, and PE ratio. This study uses a one-step System Generalised Method of Moments (GMM) to address the problem of endogeneity in the dynamic panel model. The result from the estimator indicates that discretionary accruals have a negative impact on accounting-based performance measures (ROA and ROE) and a positive impact on the market-based performance measure (PE ratio). These results are consistent for the three estimators (OLS, FE, and GMM), establishing a robust relationship between accrual management and firm performance. The findings of this study are consistent with the signaling hypothesis and suggest the likelihood of accruals reversal.

Analisis Kinerja Keuangan Bank Syariah Indonesia dengan Menggunakan Metode Eagels Periode 2018-2020

Bank Syariah Indonesia is one of the banks that offers various types of products and services. In 2018, Bank Syariah Indonesia faced high challenges. Indonesia's unfavorable economic conditions have an impact on the customer's financing business so that their finances decline. The decline in the quality of productive assets in 2018 prompted the company to increase reserves for asset losses, so that profits in 2018 were under pressure. This study aims to analyze the financial performance of Indonesian Islamic Banks using the EAGLES assessment aspect.This type of research is quantitative descriptive. This research describes systematically, factually, and accurately about the facts and characteristics of a particular population, or tries to describe the phenomenon in detail. In this study the data source used is secondary data. Aspects used to measure the financial performance of Bank Syariah Indonesia, namely, the ability to generate, asset quality, growth rate, liquidity, equity and strategic management.The results showed that the financial performance of the Indonesian Islamic Bank in terms of earning ability with ROA and ROE ratios obtained an average ratio of 0.25% and 3.11%, respectively. Judging from the aspect of asset quality, the NPF ratio obtained an average of 5.94%. The growth rate aspect which consists of the DGR and LGR ratios has an average ratio of 8.63% and 15.59%, respectively. Judging from the liquidity aspect with the FDR ratio, the average ratio is 23.33%. The equity aspect using the CAR ratio obtained an average of 12.55%. Judging from the strategic management aspect, the SRQ By Personnel ratio shows an average of 46.80%. Based on the results of the study, it can be found that the financial performance of Indonesian Islamic Banks in terms of the ROA and ROE ratios shows poor financial performance. The NPF and DGR ratios show a fairly good financial performance. Judging from the SRQ by Personnel ratio, it shows poor financial performance. Meanwhile, from the ratio of CAR, LGR and FDR, the financial performance of Bank Syariah Indonesia shows a very good performance.

Activity Ratio and Profitability Ratio Analysis to Know Causes of Decreasing Profit

The Village Credit Institution (LPD) of DesaPakramanSuwat has productive assets in the form of loans provided to the community. The loan disbursed fluctuated from 2019-2021. Based on the report on activities and credit developments at the PakramanSuwat Village LPD, the loans granted in 2019-2021 are fully eligible for current collectibility. However, this is not in line with the development of LPD profits which have decreased in 2020 and 2021.This study aims to analyze the causes of the decline in LPD profits in terms of credit turnover, BOPO, net profit margin, return on equity, and return on assets. The type of research used in this research is descriptive research with a qualitative approach. The analysis techniques in this research are activity ratio analysis, profitability ratio analysis, and trend analysis.The results of this study indicate that the level of LPD activity in PakramanSuwat Village has decreased which can be seen based on the credit turnover which has decreased from 2019-2021. The decrease in credit turnover was caused by a small amount of collectible loans so that loan interest income decreased so that it affected the decline in LPD profitability. The level of profitability of the LPD PakramanSuwat Village also experienced a decrease which can be seen from the BOPO ratio and the decline in the ratio of NPM, ROE, and ROA. This decrease in profitability was due to operating expenses, decreased operating income, decreased other operating income, the company's capital being not managed optimally, and the company's assets being not managed optimally.

Analisis Perbandingan Kinerja Keuangan Bank BNI Syariah Dan Bank BRI Syariah Di Masa Pandemi Covid-19

Financial performance as a measuring tool to determine the process of implementing financial resources owned by the company. The Covid-19 pandemic had an impact on the banking sector, resulting in non-current financing due to debtor arrears as a result of many people losing their jobs and difficulties in paying financing. This study has the aim of conducting a comparative analysis of financial performance between BRI Syariah Banks and BNI Syariah Banks during the Covid-19 pandemic, using financial report notes for quarter 1, 2, 3 and 4 for 2019, quarter 1 for 2020 through independent testing. Sample T-Test. There is a difference between the financial performance of Bank BNI Syariah and Bank BRI Syariah from the aspect of ROA, NPF and BOPO, while from the aspect of CAR and ROE it shows that there is no significant difference between the financial performance of BRI Syariah Bank and BNI Syariah Bank. This paper recommends to BNI Syariah to pay attention to the ROE and NPF ratios, while to BRI Syariah Banks to pay attention to the CAR, ROA and BOPO ratios.

Iso Series Certification System on The Financial Performance and Performance

The objective of this study was to compare the financial performance and stock performance of companies with and without ISO series certifications. In this study, EVA (Economic Value Added) and financial ratios, particularly Debt to Equity, Return on Equity, and Return on Assets, reflect financial performance, while anomalous returns represent stock performance. This study utilizes data from 2011 to 2019 firm reports that have acquired ISO 9000 and 14000 series certification. The results indicate that organizations with ISO series certification and those without certification are comparable. There is no substantial difference between the EVA and ROE ratios' financial performance. Nevertheless, the DER and ROA financial performance ratios differ significantly. Moreover, there are considerable discrepancies between ISO corporations and non-ISO companies in terms of stock performance. The conclusion of the study is that there is no significant difference between the performance of companies that receive ISO certification and those that do not, as a result of insufficient research time, the fact that non-ISO companies already have good marketing management, and the lack of continued ISO implementation in companies that already have ISO certification.

DIFFERENCES IN BANKING FINANCIAL PERFORMANCE BEFORE AND AFTER MERGER (CASE STUDY OF DOMESTIC BANKS IN INDONESIA)

This study is to determine whether there are differences in the financial performance of banks before and after the merger as measured using the rasio of banking financial performance observation period of 2 years before and 2 years after the merger (2017-2021). The analytical method used in this research is descriptive analysis and the Paired Sample T test difference test to determine the difference with data that are normally distributed. The results of the descriptive analysis in this study showed an increase in the ratio of BOPO, CAR, and NPL, while the ratio of NIM, LDR, ROA, and ROE tended to decrease. The results of the Paired Sample T test at Bank Oke Indonesia showed that only the NPL ratio showed a difference between before and after the merger, while the results of the Paired Sample T test at Bank IBK Indonesia showed only the CAR and LDR ratios which showed a significant difference. between before and after the merger, as well as the results of the Paired Sample T test at Bank Danamon Indonesia showed that only the BOPO, ROA, and LDR ratios showed a difference between before and after the merger.

Company's Financial Performance Before and During the Covid-19 Pandemic on the Indonesia Stock Exchange

This study at determine financial performance before and during the Covid-19 pandemic on the Indonesia Stock Exchange. In this study, 29 samples of companies in the health sub-sector, telecommunication services sub-sector, hotel and restaurant tourism sub-sector. This analysis includes company financial analysis, manova test, and research results show that financial performance before and during the Covid-19 pandemic as measured by using CR, DER, TATO, ROE shows no difference in the health sector and for companies in the telecommunication service subsector while in the telecommunication service subsector. Hotel and restaurant tourism shows differences in financial performance before and during the Cobid-19 pandemic. Financial performance such as the Current ratio, DER, TATO and ROE show that younger companies have different financial performances from older companies. the size of the company does not show any difference for the ratio of CR and ROE and shows a difference in the ratio of DER and TATO when it is below 5 trillion

Impact of The Covid-19 Pandemic on Profitability of Companies Incorporated in IDX30 (Studies Before and During the Pandemic Took Place)

This study retested the hypothesis of previous research by Evany et al., (2022) so that this type of research is confirmatory. The hypothesis proposed is whether there is a significant difference in profitability ratios in companies incorporated in IDX30 before and during the pandemic. Quantitative data analysis uses secondary data in the form of financial statements during the two-year research period. Data can be obtained from the Indonesia Stock Exchange or www.idx.co.id. Based on these data, there are as many as 30 companies, but those that meet the sample criteria are only 18 companies and obtained as many as 108 data for three research variables. With the help of SPSS 25 software using wilcoxon sign rank non-parametric tests, the results showed that there was a significant difference in the period before the pandemic and at the time of the pandemic occurred only in the ROA ratio, while in the ROE and NPM ratios the results were no significant differences.

Analisis Pengaruh Kinerja Keuangan Terhadap Zakat Perusahaan Asuransi Syariah


 Sharia insurance is an effort to protect and help each other among policyholders which is carried out through the collection and management of tabarru funds that provide a pattern of returns to face certain risks through contracts that are in accordance with sharia principles. The aims of this study are (1) to understand the financial performance of Islamic insurance companies, (2) to understand the company's zakat, (3) to understand the effect of financial performance on Islamic insurance companies' zakat, and (4) to understand ROE and ROA. The research used in this research is quantitative deskriptive. The data is taken from secondary data, namely secondary financial statements. Hypothesis testing in this study uses regression analysis. In this study using the company's performance by using the ratio of ROE and ROA. The results of this study indicate that the company's performance using the ROE and ROA methods on the calculation of company zakat has a positive influence on company zakat, but all the results of the calculation can be concluded that insurance company zakat is influenced by the company's operational performance but not fully influenced by ROA and ROE, however. This could be a factor that influences the company in issuing its obligation to pay zakat.
 Keywords: Financial Performance, Corporate Zakat, Sharia Insurance

FINANCIAL DISTRESS PADA SEKTOR BANK CAMPURAN DI INDONESIA DENGAN RASIO CAMEL SEBAGAI ALAT UKUR. PERIODE STUDI 2014 – 2019.

This study aims to analyze the effect of the CAMEL ratio as measured using the ratio of CAR, NPL, ROA, ROE, LDR and BOPO to financial distress in the mixed bank sector in Indonesia for the period 2014-2019. Data were analyzed using multiple regression and hypothesis testing F test for simultaneous effect and T test for partial effect. The results of this study indicate that the ratio of CAR, NPL, ROA, ROE and LDR partially has no significant effect on Financial Distress, while BOPO has a significant effect on Financial Distress. However, simultaneously the six ratios have an effect on the Financial Distress of Indonesian banks

Analisis Perbandingan Profitabilitas Sebelum Dan Sesudah Akuisisi Pada Perusahaan Manufaktur Di Bursa Efek Indonesia

This study aims to analyze differences in profitability before and after the acquisition. The profitability ratios used in this study are the ratio of GPM, NPM, OPM, ROA, ROE and EPS. The population in this study is a manufacturing company that made acquisitions in 2014. The sample of this study was determined by purposive sampling so that a sample of 4 companies was obtained. The analytical method used in this research is the ANOVA test. The results showed that only the ROE ratio had a difference after the acquisition. While the ratio of GPM, NPM, OPM, ROA and EPS there is no significant difference before and after the acquisition. The results of the study indicate that the economic objective of the acquisition, namely to obtain synergies, was not achieved.

Pengaruh Return On Equity, Current Ratio, Debt to Equity Ratio, dan Price Earning Ratio Terhadap Harga Saham

The purpose of this research to examine the effect of the ratio of ROE, CR, DER, and PER on stock prices. In this study, the census method was used with the research model covering all manufacturing companies in the food and beverage sub-sector in Indonesia that were listed on the IDX in 2016-2020 period with documentation data collection techniques. Company data obtained from the Indonesia Stock Exchange (IDX) web. The analytical tool used is multiple regression. The result in this study indicate that the profitability ratio (ROE) has an effect and is significant on stock prices, while Liquidity (CR), Solvency (DER), PER (Price Earning Ratio) have no and no significant effect on stock prices.

The Effect of Implementing Good Corporate Governance on the Profitability and Financing Risk of Sharia Commercial Banks

The concept of good corporate governance (GCG) is based on agency theory which is expected to reduce conflicts of interest between agents and principals that can occur in every company, including sharia banks. This situation was realized by the Bank of Indonesia, which then issued a policy that emphasized the need for applying GCG in Bank Indonesia Regulation, namely PBI Number 11/33/PBI/2009. This study examines the effect of applying GCG on profitability and financing risk at the Sharia Commercial Bank in Indonesia. The application of GCG is measured using a composite value self-assessment GCG. Profitability is measured by the ratio of ROA and ROE, while the ratio of NPF measures financing risk. This study uses secondary data, namely annual and GCG implementation reports from 2010 to 2019, published on each official website of Sharia Commercial Bank. Based on the purposive sampling method, 8 of Sharia Commercial Bank ware sampled in this study with a total of 80 observations. Data analysis techniques use panel data regression analysis. The results showed that the application of GCG had a negative and significant effect on profitability measured by ROA and ROE ratios and had a significant positive effect on financing risk measured by the NPF ratio.

Fundamental Analysis of DSE Listed Islamic Banks in Bangladesh

Fundamental Analysis provides more pertinent information regarding the profitability and growth of the firm which assists the investors to make informative investment decisions. The aim of this study is to conduct fundamental analysis of some DSE-listed Islamic banks in Bangladesh and to find out the significant differences among selected variables. EPS, P/E Ratio, P/B Ratio, ROE, Dividend Yield, and Dividend Payout Ratio are the chosen variables to conduct fundamental analysis. Secondary data from the annual reports of the selected Islamic Banks in Bangladesh from 2013 to 2020 have been used. Collected data have been analyzed using descriptive statistics and inferential statistics such as Mean, Standard Deviation, and ANOVA analysis. The outcome of the study reveals that Al-Arafah Islami Bank has better ROE followed by Shajalal Islami Bank and EXIM Bank. Al-Arafah Islami Bankhas the highest average dividend yield and dividend payout ratio followed by EXIM Bank, First Security Islami bank. Shajalal Islami Bank holds the highest average P/B ratio followed by Al-Arafah Islami Bank. Islami bank has the highest average EPS of 2.92. Lastly, Shajalal Islami Bank has the highest average P/E ratio. The study also reveals that there are the momentous differences amongselected variables. This study will help the investors to adopt the relevant investment decisions and the selected Islamic Banks management will be able to improve their performance through adopting the suggested recommendations.