Pengaruh Efisiensi Operasional Dan Times Interest Earned Terhadap Return on Equity Pada Pt Garuda Indonesia (Persero) TBK Periode 2016–2025

This study examines the effects of operational efficiency and Times Interest Earned on Return on Equity at PT Garuda Indonesia Tbk for the 2016–2025 period. The study employed a quantitative approach using secondary data from the company’s annual financial statements over a ten-year period. Data were analyzed using multiple linear regression with IBM SPSS Statistics version 26. Operational efficiency was measured by the ratio of operating expenses to operating revenue, Times Interest Earned was measured by the company’s ability to cover interest expenses through operating income, and Return on Equity was used as the profitability indicator. The findings show that operational efficiency has no significant effect on Return on Equity, with a significance value of 0.780. In contrast, Times Interest Earned has a positive and significant effect on Return on Equity, with a significance value of 0.003. Simultaneously, operational efficiency and Times Interest Earned significantly affect Return on Equity, as indicated by an F-statistic of 14.143 and a significance value of 0.003. These findings indicate that the company’s ability to meet its interest obligations plays an important role in improving returns to shareholders.