## 6 Conclusions, Recommendations, Future Directions, and Limitations  
### Conclusions and Novelty of the Study  
This study highlights the heterogeneous effects of economic, financial, and institutional factors on banking performance across the EU. While economic growth and efficiency appear to benefit top-performing banks more than their lower-performing counterparts, digital inclusion, innovation, and human capital investments emerge as key drivers of ROE across all quantiles. The results emphasize the importance of differentiated policy interventions to bridge the performance gap between EU economies, ensuring that banks in all member states can leverage financial and technological advancements to enhance profitability.  
This study brings _significant contributions_ to the field by employing Method of Moments Quantile Regression (MMQR) to analyze the impact of automation technologies on banking performance. Unlike traditional approaches that focus on average effects, MMQR captures the heterogeneity of impact across different levels of banking performance, revealing nuanced relationships that remain obscured in conventional regression models. The _novelty_ lies in the simultaneous examination of hardware-based technologies, represented by ATMs as mechatronic systems, and software-driven solutions powered by artificial intelligence, such as chatbots and robo-advisors. This dual perspective offers a comprehensive understanding of how these complementary technologies influence banking performance, particularly in a rapidly digitizing financial environment where physical banking infrastructure is gradually being phased out.  
Furthermore, this study breaks new ground by integrating digitalization metrics, such as AI-driven customer interaction tools and banking automation, with traditional indicators like research and development expenditures, GDP, and human resource allocations. The contextualization of these variables within a European Union framework provides a unique lens to explore the disparities in adoption and effectiveness of automation across a diverse economic and regulatory landscape. The findings contribute to bridging an important gap in understanding the role of automation in the banking sector as it transitions toward a fully digital future.  
The findings derived from the MMQR analysis underscore the heterogeneous impact of economic and digitalization indicators on banking profitability across EU countries. The relationship between digital integration, the structural composition of the financial sector, and the regulatory landscape significantly influences the extent to which banks capitalize on technological advancements to enhance banking performance. Economies with a high degree of digitalization benefit substantially from innovation and a highly skilled workforce, whereas those lagging in digital transformation encounter structural limitations that constrain their profitability. These results emphasize the necessity of targeted policy measures aimed at creating an environment conducive to digital banking,ensuring that financial institutions can effectively navigate and adapt to the evolving economic and technological landscape.