This research aims to analyze the mediating role of efficiency factors in determining bank financial performance in Indonesia. The samples are taken using purposive sampling method and data analysis of this research are quantitative using descriptive and statistical inference, and SPSS. The statistical inference used is the structural equation model using the Wrap PLS version 06 software. The findings of this research are: 1) the efficiency factors mediate the correlation between adversely classified assets and financial performance, 2) the efficiency factors mediate the correlation between net interest margin and financial performance, and 3) the efficiency factors mediate the correlation between non-performing loans and financial performance.

Keywords : Adversely classified assets, Net Interest Margin, Non-Performing Loans, Efficiency Factors, Financial Performance, Wrap PLS.