The research is about the analysis of impact of the CAMELS financial ratios to the Bank
Performance. In this case the writer use Return on Assets as the proxy for Bank Performance.
The objective of This research performed in order to test the influence of the variable, Capital
Adequacy Ratio (CAR), Non Performing Loan (NPL), Provision Fulfillment Earning Assets
(PPAP) Net Interest Margin (NIM), Return on Equity (ROE), Operational Expenses Operational
Income (BOPO), Loan to Deposit Ratio (LDR), and Sensitivity to Market risk (CARS) toward
Return on Asset (ROA). Using purposive sampling method, the writer has selected 47 banks with
1 trillion up to 50 trillion rupiahs of assets according to classification stated in Indonesia Banking
Architects from Central Bank.
The Research uses Pooled Least Square (PLS) method with Eview3 software. Data
analyzed with multi linear regression of Pooled least square and hypotheses test used t-statistic
and F-statistic at level of significance 5%.
The research finds out that the model of this study may explain the dependent variable
Return on Assets (ROA) of 89.17%. The F-test show that simultaneously the dependent variables
effect on ROA, in α level of 95%. Capital Adequacy Ratio (CAR), Return on Equity (ROE), Net
Interest Margin (NIM), Operational Expenses Operational Income (BOPO) proven to
significantly influence Return on Assets.