This report analyses the impact capital structures have on bank profitability in terms of variables that are in line with the Basel frameworks. The study examined the relationship between Basel regulatory variables and profitability at nine of Europe’s largest banks. Panel data analysis was employed using a dataset covering a 20-year period between 2002 and 2022 extracted from the annual reports and financial statements of the selected banks. Return on equity (ROE) was the study’s profitability measurement, whereas capital adequacy ratio (CAR), capital buffer (CB), Tier 1 capital ratio (TIER1), and non-performing loans ratio (NPLR) acted as Basel regulatory variables. The main purpose of the study was to shed light on the effects Basel accords have on profitability and incentivize financial sector players to cooperate on the journey to global financial healthiness. Four hypotheses were proposed and examined using Ordinary Least Square regression model. The results obtained indicated that CAR, TIER1, and NPLR were negatively correlated with ROE, whereas CB showed a positive relationship with the dependent variable. Two important conclusions are deduced from these findings: firstly, Basel regulatory variables tend to have a negative influence on profitability as banks are compelled to hold a higher quantity of tier 1 capital, which both reduces the amount of risk-weighted assets and non-performing loans. Secondly, and more importantly, the positive relationship between profitability and capital buffer implies that holding a higher capital reserve mitigates the risk of bankruptcy costs and financial losses during global crises. The results also show that high GDP growth increases the movement of capital in the economy, which can explain a higher ROE during a certain time period.