%0 Journal Article
%T Which profitability Measures Explain Better the BankĄ¯s Financial Soundness?
%A Melita Charitou
%J Journal of Finance and Economics
%D 2019
%R 10.12691/jfe-7-2-3
%X 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
%U http://www.sciepub.com/JFE/abstract/10406