The Effect of Liquidity, Operational Efficiency, Credit Quality, and Capital on Profitability at PT BPR Kerta Raharja 2021–2025 Period
DOI:
https://doi.org/10.46799/adv.v4i8.613Keywords:
liquidity, operational efficiency, credit quality, capital, profitabilityAbstract
Profitability is a key indicator reflecting a bank’s financial performance in generating earnings through the utilization of its assets. A decline in profitability may be influenced by various internal factors, including liquidity, operational efficiency, credit quality, and capital adequacy. This study aims to analyze the development of liquidity, operational efficiency, credit quality, capital adequacy, and profitability, as well as to examine the partial and simultaneous effects of liquidity, operational efficiency, credit quality, and capital adequacy on profitability at PT BPR Kerta Raharja during the 2021–2025 period. This study employed a quantitative approach with descriptive and verification methods. Secondary data were obtained from the quarterly financial reports of PT BPR Kerta Raharja for the 2021–2025 period, consisting of 20 observations. Data analysis was conducted using multiple linear regression preceded by classical assumption tests, followed by the coefficient of determination (R²), partial t-tests, and simultaneous F-tests. Descriptively, the Loan-to-Deposit Ratio (LDR) tended to increase, while the Operating Expenses to Operating Income (BOPO) ratio and Non-Performing Loan (NPL) ratio showed increasing trends. The Capital Adequacy Ratio (CAR) remained relatively stable, whereas Return on Assets (ROA) fluctuated with a declining tendency. Partially, LDR had a positive and significant effect on ROA (p = 0.006), BOPO had a negative and significant effect (p = 0.000), while NPL (p = 0.997) and CAR (p = 0.477) did not demonstrate significant effects. Simultaneously, all four variables significantly affected ROA (F = 72.97; p = 0.000), with a coefficient of determination of 95.1%. Liquidity and operational efficiency were the dominant factors influencing profitability, while credit quality and capital adequacy did not show significant partial effects. Improving ROA requires integrated management of intermediation functions, operational cost efficiency, credit quality, and capital structure.
References
Aminudin. (2025). Comparative Analysis of NPL and BOPO Performance on BPR ROA.
Brigham, E. F., & Houston, J. F. (2019). Fundamentals of Financial Management (15th ed.). Cengage Learning.
Dendawijaya, L. (2019). Banking Management (Revised Edition). Ghalia Indonesia.
Hidayat, A., Lubis, M., & Salim, R. (2022). Analysis of the Ratio of NIM, BOPO, NPL, and LDR to ROA at PT Bank Rakyat Indonesia (Persero) Tbk.
Hanif, A., et al. (2025). Determinants of Conventional Bank Profitability.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360.
Junianti, D., Wibowo, A., & Hartati, S. (2023). The Effect of Capital Adequacy Ratio and Non-Performing Loans on Profitability through Loan to Deposit Ratio.
Mishkin, F. S. (2022). The Economics of Money, Banking, and Financial Markets (13th Global ed.). Pearson.
Mufitasari, D., & Kurniasari, N. (2025). Determination of BOPO, LDR, and NPL to ROA.
Ningsih, R., & Ilhami, M. (2023). Analysis of the Influence of CAR and LDR on the ROA of National Private Banks.
Nufus, S., & Munandar, A. (2021). Analysis of the Influence of CAR and NIM on ROA.
Nurfitriani. (2021). The Influence of CAR, NPL, and LDR on ROA in Bank Muamalat Indonesia.
Nurkhofifah, A., Rozak, A., & Apip, A. (2020). The Effect of Non-Performing Loans on Banking Profitability.
Pratama, A., et al. (2024). Analysis of the Influence of CAR, NPL, LDR, and BOPO on Commercial Bank Profitability.
PT BPR Kerta Raharja. (2021). Financial Statements for Publication Year 2021. Soreang: PT BPR Kerta Raharja.
PT BPR Kerta Raharja. (2022). Publication Financial Statements for 2022. Soreang: PT BPR Kerta Raharja.
PT BPR Kerta Raharja. (2023). Financial Statements for Publication Year 2023. Soreang: PT BPR Kerta Raharja.
PT BPR Kerta Raharja. (2024). Publication Financial Statements for 2024. Soreang: PT BPR Kerta Raharja.
PT BPR Kerta Raharja. (2025). Financial Statements for Publication Year 2025. Soreang: PT BPR Kerta Raharja.
Putri, A. E. T., Mialasmaya, S., Kumalasari, R. E., & Prawiranegara, G. P. (2024). The Influence of the Accounting Information System for Providing Credit on Internal Control of Providing Credit: Study at One of The PT. BPR Kerta Raharja Offices in Bandung. Majalah Bisnis & IPTEK, 17(1), 79–90.
Rifansa, M., & Pulungan, R. (2022). The Effect of CAR, NPL, NIM, LDR, and BOPO on ROA in Bank IV Indonesia.
Safitri, D., et al. (2025). Analysis of CAR, LDR, NPL, and BOPO on ROA at Bank HIMBARA.
Sari, D., & Septiano, R. (2020). Effects of Intervening Loan to Deposit Ratio on Bank Profitability.
Setyarini, R. (2020). Analysis of the Influence of CAR, NPL, NIM, BOPO, and LDR on ROA.
Sholika, N. (2024). The Influence of NPL, BOPO, CAR, and Ownership Structure on Bank Financial Performance.
Susilawati, S., & Nurulrahmatiah, N. (2021). The Effect of NPL and LDR on ROA with NIM as a Mediation Variable.
Wardana, A., et al. (2023). The Influence of CAR, LDR, BOPO, and NPL on Bank Profitability.
