@article{jfe2019723,
author={Charitou, Melita},
title={Which profitability Measures Explain Better the BankĄ¯s Financial Soundness?},
journal={Journal of Finance and Economics},
volume={7},
number={2},
pages={62--67},
year={2019},
url={http://pubs.sciepub.com/jfe/7/2/3},
issn={2328-7276},
abstract={The aim of this study is to examine the profitability measures that affect the bankĄ¯s financial soundness, as measured by capital adequacy. Using a dataset of 2445 bank-year observations, results show that three profitability measures increase the variability of the capital adequacy ratios by 14.40%. Specifically, results show that return on assets, net interest margin and losses affect substantially bankĄ¯s financial health. The results of this study are expected to aid bank executives, bank regulators and other stakeholders in evaluating better the bankĄ¯s financial soundness.},
doi={10.12691/jfe-7-2-3}
publisher={Science and Education Publishing}
}
