## 4 Results
This approach is particularly relevant for analyzing financial institutions in the European Union, as it allows for a deeper exploration of asymmetric effects and structural differences among banks operating under diverse economic, regulatory, and technological environments. The influence of GDP on ROE is consistently negative across all quantiles, with stronger effects in the lower and middle quantiles. This suggests that in the countries analyzed, economic expansion does not uniformly translate into higher bank profitability, possibly due to structural inefficiencies or unequal growth distribution. The banking sector's digitalization through internet banking use, captured by LOGEBANK, exhibits a significantly negative effect, particularly at higher quantiles, indicating that more profitable banks face diminishing returns from increased banking digitalization, potentially due to heightened competition or financial sector constraints on weak banks. \begin{table}
\begin{tabular}{c c c c c} \hline \hline
**Variable** & **Coefficient (Tau = 0.25)** & **Coefficient (Tau = 0.5)** & **Coefficient (Tau = 0.75)** & **Coefficient (Tau = 0.90)** \\ \hline LOG GDP & \(-\)0.256949 * & \(-\)0.239576 *** & \(-\)0.208465 * & \(-\)0.165777 * \\  & (0.0963) & (0.0162) & (0.0673) & (0.0810) \\ LOGEBANK & \(-\)0.321511 & \(-\)0.274656 *** & \(-\)0.191033 *** & \(-\)0.156813 *** \\  & (0.1211) & (0.0000) & (0.0003) & (0.0001) \\ LOGDIGINCL & 1.604587 & 2.250846 *** & 1.627283 *** & 1.579914 *** \\  & (0.2326) & (0.0000) & (0.0000) & (0.0000) \\ LOGDESI\_IDT & \(-\)0.931122 *** & \(-\)0.755339 *** & \(-\)0.861912 *** & \(-\)0.924951 *** \\  & (0.0000) & (0.0000) & (0.0000) & (0.0000) \\ LOGDESI\_HC & 1.229662 ** & 0.526695 *** & 0.658156 *** & 0.688215 *** \\  & (0.0322) & (0.0168) & (0.0001) & (0.0000) \\ LOGBANKEMPL & \(-\)0.243212 *** & \(-\)0.259478 *** & \(-\)0.251788 *** & \(-\)0.27693 *** \\  & (0.0658) & (0.0000) & (0.0001) & (0.0000) \\ LOGATM & 0.107644 & 0.14827 *** & 0.13957 *** & 0.159465 *** \\  & (0.3927) & (0.003) & (0.0049) & (0.0000) \\ RD & 0.282881 *** & 0.232124 *** & 0.23456 *** & 0.226394 *** \\  & (0.0166) & (0.0000) & (0.0000) & (0.0000) \\ MOMENT1 & 0.444957 *** & 0.505355 *** & 0.664001 *** & 0.714017 *** \\  & (0.0000) & (0.0000) & (0.0000) & (0.0000) \\ MOMENT2 & 0.455733 *** & 0.474509 *** & 0.407429 *** & 0.425924 *** \\  & (0.0000) & (0.0000) & (0.0000) & (0.0000) \\ C & \(-\)1.470964 & \(-\)3.37703 *** & \(-\)1.013666 & \(-\)0.882788 \\  & (0.7881) & (0.0218) & (0.4016) & (0.2858) \\ \hline \hline \end{tabular}
\end{table} 
Table 10: MMQR Results. At the lower quantiles, specifically at the 0.25 quantile, the findings indicate that digitalization and financial innovation play an essential yet complex role in shaping banking performance. The negative and statistically significant coefficient of the logarithm of the design of inclusive digital transformation (LOGDESI_IDT) suggests that institutions in the lower quantile of ROE experience adverse effects from digital transformation strategies. This finding aligns with the idea that digital adaptation requires upfront investments and restructuring, which may not immediately translate into improved profitability, particularly for underperforming financial institutions. Conversely, the positive significance of the logarithm of human capital in digital design (LOGDESI_HC) underscores the importance of skilled labor in enhancing the success of digital strategies in the EU banking sector. The negative impact of the logarithm of banking employment (LOGBANKEMPL) further indicates that for banks with weaker banking performance, higher employment levels may reflect inefficiencies rather than value creation, a common challenge in institutions facing structural rigidities. At the median quantile (0.50), the role of digitalization becomes more pronounced, with the logarithm of digital inclusion (LOGDIGINCL) emerging as a strong determinant of ROE.