FINANCIAL PERFORMANCE ANALYSIS BASED ON PROFITABILITY RATIOS AT KAEBAUK INVESTIMENTU NO FINANSAS, S.A. FOR THE PERIOD 2020–2024
Keywords:
Financial Performance, Profitability Ratios, Microfinance Institutions, Gross Profit Margin, Net Profit Margin, Return on Assets, Return on Equity
Abstract
In a dynamic and evolving financial landscape, the sustainability of microfinance institutions hinges on their ability to maintain profitability while achieving developmental objectives. This study evaluates the financial performance of Kaebauk Investimentu no Finansas, S.A. (KIF), a leading microfinance institution in Timor-Leste, by analyzing its profitability ratios over a five-year period from 2020 to 2024. The analysis employs a quantitative descriptive approach, utilizing audited financial statements to compute four key profitability indicators: Gross Profit Margin (GPM), Net Profit Margin (NPM), Return on Assets (ROA), and Return on Equity (ROE). The findings reveal a fluctuating profitability trend, with all indicators peaking in 2022 suggesting improved operational efficiency and revenue management followed by a decline in 2023 and 2024, which may indicate rising costs or strategic misalignments. These results reflect the challenges faced by KIF in balancing financial performance with its social mission in a vulnerable economic environment. The study contributes to the broader discourse on microfinance sustainability by offering practical insights for strategic planning, financial management, and policy formulation in emerging economies.References
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Nguyen, L., & Kohda, Y. (2017). Toward a knowledge management framework for auditing processes. International Journal of Knowledge and Systems Science (IJKSS), 8(3), 45-67.
Raharjaputra, Hendra S. 2011.Manajemen Keuangan dan Akuntansi untuk Eksekutif Perusahaan. Cetakan Pertama. Jakarta: Salemba Empat.
Rambe, P., & Makhalemele, N. (2015). Relationship between managerial competencies of owners/managers of emerging technology firms and business performance: A conceptual framework of internet cafés performance in South Africa. The International Business & Economics Research Journal (Online), 14(4), 678.
Rudianto, E. (2022). Analysis of liquidity and solvency ratios on the balance sheet of the regional government of temanggung in 2014-2015. Marginal: Journal Of Management, Accounting, General Finance And International Economic Issues, 1(2), 19-26.
Saputra, F. (2022). Analysis effect return on assets (ROA), return on equity (ROE) and price earning ratio (PER) on stock prices of coal companies in the Indonesia Stock Exchange (IDX) period 2018-2021. Dinasti International Journal of Economics, Finance and Accounting, 3(1), 82-94.
Sugiono, A., & Untung, E. (2016). Panduan Praktis Dasar Analisa Keuangan Edisi Revisi. Gramedia Widiasarana Indonesia.
Supsermpol, P., Huynh, V. N., Thajchayapong, S., Suppakitjarak, N., & Chiadamrong, N. (2025). Predicting post-IPO financial performance: a hybrid approach using logistic regression and decision trees. Journal of Asian Business and Economic Studies, 32(1), 52-65.
Wahyuni, W., & Hariyanto, D. (2022). The Effect of Return on Assets and Return on Equity on Company Value with Dividends as Intervening Variables in Manufacturing Companies in the Basic and Chemical Industry Sectors Listed on the Indonesia Stock Exchange in 2017-2020. TechHub Journal, 2(1), 27-48.
Widarjo, W., & Setiawan, D. (2009). Pengaruh rasio keuangan terhadap kondisi financial distress perusahaan otomotif. Jurnal bisnis dan akuntansi, 11(2), 107-119.
Winarno, S. H. (2017). Penilaian Kinerja Keuangan Perusahaan Melalui Analisis Profitabilitas. Jurnal Moneter, 4(2), 106-112.
Zhafira, A., & Lubis, A. (2023). Analisis Pengaruh Gross Profit Margin Dan Return on Equity Terhadap Harga Saham Pada Perusahaan Sektor Infrastruktur Yang Terdaftar Di Bursa Efek Indonesia Periode 2020-2022. COMSERVA: Jurnal Penelitian Dan Pengabdian Masyarakat, 3(4), 1459-1467.
Zhang, Z., & Wang, F. (2023). Managerial short‐termism and financial statement comparability. Accounting & Finance, 63(5), 5027-5067.
Zheng, H., Tian, L., & Li, G. (2023). A bane or a boon? Profit‐margin‐guarantee contract in a channel with downstream competition. Production and Operations Management, 32(7), 2087-2100.
Zulkarnain, I., Azzahra, W. S., & Sjukun, S. (2022). The Effect Of Current Ratio And Debt To Equity Ratio On Company Stock Prices: Empirical Study On Lq45 Companies Listed On The Indonesia Stock Exchange 2016-2020 Period. Penanomics: International Journal of Economics, 1(1), 105-132.
Zulkarnain, M. T. (2023). Literature Of Review Effect Of Profitability, Debt To Equity Ration And Current Ratio On Share Return (Study On Companies Listed On Lq45 Period 2018-2022). IJESM Indonesian Journal of Economics and Strategic Management, 1(4), 386-393.
Brigham, E. F., & Houston, J. F. (2019). Fundamentals of financial management. Cengage Learning.
Cull, R., & Morduch, J. (2018). Microfinance and economic development. In Handbook of finance and development (pp. 550-572). Edward Elgar Publishing.
Fahmi, T., Ibnugroho, B., & Wijayanto, A. (2017). The Effect of Financial Performance, Corporate Size, and Financial Leverage to the Stock Return With Corporate Social Responsibility Disclosure as the Intervening Variable Proceedings of 12th Asia-Pacific Business Research Conference. In Proceedings of 12th Asia-Pacific Business Research Conference.
Fernos, J. (2017). Analisis Rasio Profitabilitas Untuk Mengukur Kinerja (Studi Kasus Pada PT. Bank Pembangunan Daerah Provinsi Sumatera Barat). Jurnal Pundi, 1(2).
Fernos, J. (2017). Analisis Rasio Profitabilitas Untuk Mengukur Kinerja (Studi Kasus Pada PT. Bank Pembangunan Daerah Provinsi Sumatera Barat). Jurnal Pundi, 1(2).
Gitman, L. J., & Zutter, C. J. (2015). Principles of Managerial Finance. 14th. Global Edition: Pearson Education Limited.
Gu, T., Hui, K. W., Jiang, Y., & Simunic, D. A. (2023). Federal judge ideology and the going‐concern reporting incentives of Big 4 and non–Big 4 auditors. Contemporary Accounting Research.
Gunawan, J., Permatasari, P., & Fauzi, H. (2022). The evolution of sustainability reporting practices in Indonesia. Journal of Cleaner Production, 358, 131798.
Gunawan, R., Widiyanti, M., Malinda, S., & Adam, M. (2022). The effect of current ratio, total asset turnover, debt to asset ratio, and debt to equity ratio on return on assets in plantation sub-sector companies listed on the Indonesia stock exchange. International Journal of Economic, Business, Accounting, Agriculture Management and Sharia Administration (IJEBAS), 2(1), 19-28.
Hadi, E. S., & Amzul, T. A. A. (2023). Pengaruh Current Ratio Terhadap Gross Profit Margin pada PT. Mayora Tbk. Periode 2010-2022. Jurnal Ekonomi Utama, 2(2), 138-142.
Hadi, E. S., & Amzul, T. A. A. (2023). Pengaruh Current Ratio Terhadap Gross Profit Margin pada PT. Mayora Tbk. Periode 2010-2022. Jurnal Ekonomi Utama, 2(2), 138-142.
Hadi, E. S., & Amzul, T. A. A. (2023). Pengaruh Current Ratio Terhadap Gross Profit Margin pada PT. Mayora Tbk. Periode 2010-2022. Jurnal Ekonomi Utama, 2(2), 138-142.
Halim, N. A., & Mazlan, N. H. (2023). Profitability performance of full-fledged islamic banks and economic growth in malaysia: a panel data approach. Journal of Numerical Optimization and Technology Management, 1(1), 29-41.
Halim, N. A., & Mazlan, N. H. (2023). Profitability performance of full-fledged islamic banks and economic growth in malaysia: a panel data approach. Journal of Numerical Optimization and Technology Management, 1(1), 29-41.
Halim, S. (2020). Effect Of Financing In Sharia Business Units On Profitability And Financing Risk Management. Journal of Islamic Economics and Social Science (JIESS), 1(1), 11-27.
Hawaldar, I. T., Meher, B. K., Kumari, P., & Kumar, S. (2022). Modelling the effects of capital adequacy, credit losses, and efficiency ratio on return on assets and return on equity of banks during COVID-19 pandemic. Banks and Bank Systems, 17(1), 115.
Jajuli, J., Sofi'i, I., & Haryadi, D. (2023). Moderation of non-performing financing on the effect of buying and selling financing on return on assets empirical study on Islamic banking in Indonesia in 2015-2020. International Journal of Applied Finance and Business Studies, 11(2), 231-238.
Karim, R., Hasan, M. M., Waaje, A., Yesmin, S. H., & Roshid, M. M. (2023). Financial Performance of Bangladeshi Listed Commercial Banks: A Generation-based Analysis. International Journal of Finance & Banking Studies, 12(4), 46-56.
Kasmir. (2013). Analisis Laporan Keuangan Ed rev 2008. Raja Grafindo Press
Kusz, D., Bąk, I., Szczecińska, B., Wicki, L., & Kusz, B. (2022). Determinants of Return-on-Equity (ROE) of Biogas Plants Operating in Poland. Energies 2023, 16, 31.
Kusz, D., Bąk, I., Szczecińska, B., Wicki, L., & Kusz, B. (2022). Determinants of return-on-equity (ROE) of biogas plants operating in Poland. Energies, 16(1), 31.
Lasabuda, N. L. M. P., Pelleng, F. A. O., & Tampi, D. L. (2019). Analisis Rasio Kinerja Keuangan pada PT Telekomunikasi Indonesia (Persero), Tbk. Productivity, 1(2), 154–162.
Ledgerwood, J., Earne, J., & Nelson, C. (Eds.). (2013). The new microfinance handbook: A financial market system perspective. World Bank Publications.
Ledgerwood, J., Earne, J., & Nelson, C. (Eds.). (2013). The new microfinance handbook: A financial market system perspective. World Bank Publications.
Munawir, S. (2002). Akuntansi Keuangan dan Manajemen. Edisi Revisi. Penerbit BPFE. Yogyakarta.
Munawir, S. (2002). Akuntansi Keuangan dan Manajemen. Edisi Revisi. Penerbit BPFE. Yogyakarta.
Nguyen, L., & Kohda, Y. (2017). Toward a knowledge management framework for auditing processes. International Journal of Knowledge and Systems Science (IJKSS), 8(3), 45-67.
Raharjaputra, Hendra S. 2011.Manajemen Keuangan dan Akuntansi untuk Eksekutif Perusahaan. Cetakan Pertama. Jakarta: Salemba Empat.
Rambe, P., & Makhalemele, N. (2015). Relationship between managerial competencies of owners/managers of emerging technology firms and business performance: A conceptual framework of internet cafés performance in South Africa. The International Business & Economics Research Journal (Online), 14(4), 678.
Rudianto, E. (2022). Analysis of liquidity and solvency ratios on the balance sheet of the regional government of temanggung in 2014-2015. Marginal: Journal Of Management, Accounting, General Finance And International Economic Issues, 1(2), 19-26.
Saputra, F. (2022). Analysis effect return on assets (ROA), return on equity (ROE) and price earning ratio (PER) on stock prices of coal companies in the Indonesia Stock Exchange (IDX) period 2018-2021. Dinasti International Journal of Economics, Finance and Accounting, 3(1), 82-94.
Sugiono, A., & Untung, E. (2016). Panduan Praktis Dasar Analisa Keuangan Edisi Revisi. Gramedia Widiasarana Indonesia.
Supsermpol, P., Huynh, V. N., Thajchayapong, S., Suppakitjarak, N., & Chiadamrong, N. (2025). Predicting post-IPO financial performance: a hybrid approach using logistic regression and decision trees. Journal of Asian Business and Economic Studies, 32(1), 52-65.
Wahyuni, W., & Hariyanto, D. (2022). The Effect of Return on Assets and Return on Equity on Company Value with Dividends as Intervening Variables in Manufacturing Companies in the Basic and Chemical Industry Sectors Listed on the Indonesia Stock Exchange in 2017-2020. TechHub Journal, 2(1), 27-48.
Widarjo, W., & Setiawan, D. (2009). Pengaruh rasio keuangan terhadap kondisi financial distress perusahaan otomotif. Jurnal bisnis dan akuntansi, 11(2), 107-119.
Winarno, S. H. (2017). Penilaian Kinerja Keuangan Perusahaan Melalui Analisis Profitabilitas. Jurnal Moneter, 4(2), 106-112.
Zhafira, A., & Lubis, A. (2023). Analisis Pengaruh Gross Profit Margin Dan Return on Equity Terhadap Harga Saham Pada Perusahaan Sektor Infrastruktur Yang Terdaftar Di Bursa Efek Indonesia Periode 2020-2022. COMSERVA: Jurnal Penelitian Dan Pengabdian Masyarakat, 3(4), 1459-1467.
Zhang, Z., & Wang, F. (2023). Managerial short‐termism and financial statement comparability. Accounting & Finance, 63(5), 5027-5067.
Zheng, H., Tian, L., & Li, G. (2023). A bane or a boon? Profit‐margin‐guarantee contract in a channel with downstream competition. Production and Operations Management, 32(7), 2087-2100.
Zulkarnain, I., Azzahra, W. S., & Sjukun, S. (2022). The Effect Of Current Ratio And Debt To Equity Ratio On Company Stock Prices: Empirical Study On Lq45 Companies Listed On The Indonesia Stock Exchange 2016-2020 Period. Penanomics: International Journal of Economics, 1(1), 105-132.
Zulkarnain, M. T. (2023). Literature Of Review Effect Of Profitability, Debt To Equity Ration And Current Ratio On Share Return (Study On Companies Listed On Lq45 Period 2018-2022). IJESM Indonesian Journal of Economics and Strategic Management, 1(4), 386-393.
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