A research on the determination and analysis of variables affecting profitability in participation banks ‎

This study aims to determine the variables affecting the profitability of participation banks. In the study, asset and equity returns of participation banks were used as dependent variables. Total assets, number of personnel, ratio of financial assets to total assets, leverage ratio, dividend expenses/total assets, total collected funds / total assets, ratio of liquid assets to total assets, operating expense ratio, loan/deposit ratio, funds provided/total assets, non-performing loans (net) / total loans and receivables and off-balance sheet liabilities / total assets variables of participation banks between 2015 and 2021 were selected as independent variables. Panel data analysis method was used to examine the impact of variables on bank profitability. According to the fixed effect model of the variables, the effect of the series examined in the research in participation banks on bank profitability is not significant. Although there are many reasons for this, it can be said that it is due to the fact that participation banks are new, their data is low and their operating systems are different from other banks.