Analyzing the Financial Performance of PT Bank Syariah Indonesia Tbk: Before and After Merger

Abstract

This research investigates the impact of a merger on the financial performance of PT Bank Syariah Indonesia Tbk from 2019 to 2022. The study employs profitability indicators such as Return on Assets (ROA), Return on Equity (ROE), and Net Operating Margin (NOM) to assess the differences in financial performance before and after the merger. The entire population of interest is PT Bank Syariah Indonesia Tbk, and a total sampling or census approach is used to gather data from quarterly financial reports. Analytically, the research employs descriptive analysis and hypothesis testing through the Paired Sample t-test. The findings reveal significant disparities in the financial performance of PT Bank Syariah Indonesia Tbk before and after the merger, with post-merger performance exhibiting improvement, indicating the positive impact of mergers on financial outcomes. This research contributes to financial analysis and merger studies by furnishing empirical evidence of the beneficial effects mergers can have on the financial performance of organizations, exemplified through a prominent Islamic banking institution. The utilization of robust profitability metrics and rigorous statistical techniques enhances the empirical validity of the findings, thereby offering valuable insights to practitioners, policymakers, and scholars in the realms of finance and corporate strategy.

Keywords

• merger
• financial performance
• return on assets
• return on equity
• net operating margin