The performance of teachers is an important factor that must be considered in efforts to improve the quality of education. Teacher's performance is affected by many factors. Factors that affect the performance of teachers are principals' managerial leadership and compensation. The purpose of this study was to determine the effect of principals' managerial leadership and compensation to the performance of physical science teachers in senior high schools in the district Baguala Ambon city. This type of research is quantitative design. The instrument was used questionnaire. The variables studied were the principal managerial leadership (X[subscript 1]), compensation (X[subscript 2]) as independent variables and performance of science physics teachers (Y) as dependent variable. Prior to use in the true research, the validity and reliability of these instrument was done. To reveal relationships between variables, correlation analysis was performed, while to know the effect of independent variables on the dependent variable regression analysis also performed. Analysis of the validity, reliability, correlation and regression analysis was performed using SPSS program version of 18.0 for windows. The results showed that between principal managerial leadership and teacher performance there is a very high correlation. Between compensation with the performance have high correlation and the combination of principals' managerial leadership and compensation with the performance there is a very high correlation. Regression analysis showed that the independent variables principals managerial leadership and compensation, or a combination of both contribute to or affect the performance of physical science teacher at senior high school in the district Baguala.