THE EFFECT OF CREDIT RATIO, LIQUIDITY, AND CAPITAL ADEQUACY ON THE PROFITABILITY OF STATE-OWNED GENERAL BANKS

This study analyzes the effect of credit ratio, liquidity, and capital adequacy on the profitability of State-Owned Commercial Banks listed on the IDX for 2015-2023.This study uses quantitative data, sourced from the Bank's official annual report, with a total of 36 samples.The study shows that simultaneously NPL, LDR, and CAR have a significant positive effect on ROA and partially, the credit ratio (NPL) has a negative and significant effect, the liquidity ratio (LDR) has a negative and insignificant effect, the capital adequacy ratio (CAR) has a positive and significant effect.The need for optimal management of NPL, LDR, and CAR to increase profitability and maintain financial stability.Further research is expected to add other variables, use wider research objects, and expand the number of research samples.