Punjab National Bank Ratio Analysis and company AnalysisPraveen Reddy
Company review session on Punjab National Bank for Ratio Analysis on the company.This will be helpful to analyse the financials of the company and gibes benefits as learning in ratio analysis
This project report has been prepared as per the requirement of the syllabus of
MBA course structure under which the students are the required to undertake
project.
It was a first hand experience for us as that we were exposed to the professional
set-up and were facing the market, which was really a great experience.
During project period, I had very touching experiences. When business is involved,
experiences counts a lot, as we know, experience are an instrument, which leads
towards success.
Punjab National Bank Ratio Analysis and company AnalysisPraveen Reddy
Company review session on Punjab National Bank for Ratio Analysis on the company.This will be helpful to analyse the financials of the company and gibes benefits as learning in ratio analysis
This project report has been prepared as per the requirement of the syllabus of
MBA course structure under which the students are the required to undertake
project.
It was a first hand experience for us as that we were exposed to the professional
set-up and were facing the market, which was really a great experience.
During project period, I had very touching experiences. When business is involved,
experiences counts a lot, as we know, experience are an instrument, which leads
towards success.
Chapter 1 Indian banking introduction newNayan Vaghela
Meaning & Definition of Bank, Portfolio Management, Role of Banking Sector in Economic Development, Constituents of Banking System in India, Functional Classification of Banks
Finance is the lifeblood and lifeline of any business entity either commercial or non-commercial. The
Survival, Stability and Sustainability of a firm is highly associated with its financial wellness. It can be observed through its ability to pay(re) short-term as well as long term liabilities, meeting the regular financial obligations, to increase the value of firm and ability to generate profit. Financial analysis, evaluation, and assessment help in determines the financial position and financial strength of a firm. Among the plenty of methods and tolls available for financial performance, ratio analysis is more useful and meaningful. These ratios make it possible to analyze the evolution of the financial situation of a firm (trend analysis), cross-sectional analysis and comparative analysis.
Chapter 1 Indian banking introduction newNayan Vaghela
Meaning & Definition of Bank, Portfolio Management, Role of Banking Sector in Economic Development, Constituents of Banking System in India, Functional Classification of Banks
Finance is the lifeblood and lifeline of any business entity either commercial or non-commercial. The
Survival, Stability and Sustainability of a firm is highly associated with its financial wellness. It can be observed through its ability to pay(re) short-term as well as long term liabilities, meeting the regular financial obligations, to increase the value of firm and ability to generate profit. Financial analysis, evaluation, and assessment help in determines the financial position and financial strength of a firm. Among the plenty of methods and tolls available for financial performance, ratio analysis is more useful and meaningful. These ratios make it possible to analyze the evolution of the financial situation of a firm (trend analysis), cross-sectional analysis and comparative analysis.
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
Jazzit Score is a financial reporting tool that automatically creates a comprehensive 32 page financial report analyzing the health of your clients’ business. Drawing on the trial balance info already entered in CaseWare Working Papers, it includes ratio analysis, trend analysis, comparative industry and custom defined benchmarks with insightful commentary.
Founded in 2000, Jazzit is Canada’s leading supplier of premium CaseWare templates for accountants. Our products include Jazzit Fundamentals, Jazzit Checklists and Jazzit Score, creating a powerful suite of automated solutions for SME practioners. Jazzit Fundamentals, the flagship product, is an integrated suite of over 115 templates and letters that assist public accountants in completing year-end engagements with their corporate clients. With offices in Calgary, Alberta, and Kelowna, B.C., Jazzit’s software serves over 5,000 accounting professionals across Canada.
Jazzit Score is a financial reporting tool that automatically creates a comprehensive 32 page financial report analyzing the health of your clients' business. Drawing on the trial balance info already entered in CaseWare Working Papers, it includes ratio analysis, trend analysis, comparative industry and custom defined benchmarks with insightful commentary.
Founded in 2000, Jazzit is Canada's leading supplier of premium CaseWare templates for accountants. Our products include Jazzit Fundamentals, Jazzit Checklists and Jazzit Score, creating a powerful suite of automated solutions for SME practioners. Jazzit Fundamentals, the flagship product, is an integrated suite of over 100 templates and letters that assist public accountants in completing year-end engagements with their corporate clients. With offices in Calgary, Alberta, and Kelowna, B.C., Jazzit's software serves over 5,000 accounting professionals across Canada.
Ratio analysis project on ONGC of year 2010-11 & 2011-12Arjun Negi
Title: ratio analysis for period 2010-11 & 2011-12 : case study of ONGC SCOPE:
a) Ratio Analysis: concept, definition, Objectives, merits and demerits;
b) Calculation of solvency ratios: short term & long term;
c) Analysis of last two year 2010-11 & 2011-12;
d) Conclusion.
( included bibliography, literature review , and ONGC balance sheet )
Factors Affecting Return on Assets (ROA) in Banking Companies Listed in Indon...AJSSMTJournal
Bank performance is a description of each economic results can be achieved by the banking company in a
particular period through the activities of the company to generate profits effectively and efficiently. The performance level
was good bank increase public confidence to use the financial services of banks. One indicator to assess the financial
performance of a bank is ROA. The purpose of this research is to analyze the effect of CAR, NPL, LDR, NIM, BOPO, Inflation,
and BI Rate on ROA of banking companies listed on the Stock Exchange partially and simultaneously. The analysis method
used is Multiple Linear Regression Analysis, which is processed using the SPSS program version 25. The results showed that
partially CAR, NPL, Inflation, and BI Rate did not significantly influence ROA of banking companies listed on the IDX, while
LDR, NIM and BOPO significantly influence ROA on banking companies listed on the IDX. Simultaneously all independent
variables have a significant effect on ROA in banking companies listed on the IDX, where the contribution of all independent
variables is 95.80% and the remaining 4.20% influenced by other variables that have not been examined in this research.
Chatty Kathy - UNC Bootcamp Final Project Presentation - Final Version - 5.23...John Andrews
SlideShare Description for "Chatty Kathy - UNC Bootcamp Final Project Presentation"
Title: Chatty Kathy: Enhancing Physical Activity Among Older Adults
Description:
Discover how Chatty Kathy, an innovative project developed at the UNC Bootcamp, aims to tackle the challenge of low physical activity among older adults. Our AI-driven solution uses peer interaction to boost and sustain exercise levels, significantly improving health outcomes. This presentation covers our problem statement, the rationale behind Chatty Kathy, synthetic data and persona creation, model performance metrics, a visual demonstration of the project, and potential future developments. Join us for an insightful Q&A session to explore the potential of this groundbreaking project.
Project Team: Jay Requarth, Jana Avery, John Andrews, Dr. Dick Davis II, Nee Buntoum, Nam Yeongjin & Mat Nicholas
Levelwise PageRank with Loop-Based Dead End Handling Strategy : SHORT REPORT ...Subhajit Sahu
Abstract — Levelwise PageRank is an alternative method of PageRank computation which decomposes the input graph into a directed acyclic block-graph of strongly connected components, and processes them in topological order, one level at a time. This enables calculation for ranks in a distributed fashion without per-iteration communication, unlike the standard method where all vertices are processed in each iteration. It however comes with a precondition of the absence of dead ends in the input graph. Here, the native non-distributed performance of Levelwise PageRank was compared against Monolithic PageRank on a CPU as well as a GPU. To ensure a fair comparison, Monolithic PageRank was also performed on a graph where vertices were split by components. Results indicate that Levelwise PageRank is about as fast as Monolithic PageRank on the CPU, but quite a bit slower on the GPU. Slowdown on the GPU is likely caused by a large submission of small workloads, and expected to be non-issue when the computation is performed on massive graphs.
2. FINANCIALANALYSIS
Financial statements are final result of accounting work done
during the accounting period.
These statements include the income statement, balance
sheet, statement of cash flows, and a statement of retained
earnings.
TECHNIQUES OF FINANCIAL ANALYSIS
Various methods are used to study the relationship between
different statements. The following methods of analysis are
generally used :
1. Comparative financial statements
2. Trend analysis
3. Common size statements
4. Ratio analysis
5. Funds Flow Analysis.
3. RATIO ANALYSIS
Ratio analysis is quantitative analysis of information contained
in a company’s financial statements.
It is based on line items in financial statements like the balance
sheet, income statement and cash flow statement; the ratios of
one item – or a combination of items - to another item or
combination are then calculated.
There are four main categories of ratios:
Liquidity ratios
Profitability ratios
Activity ratios
Leverage ratios.
4. ADVANTAGES
To workout the profitability.
To workout the solvency.
Helpful in analysis of financial statements.
Helpful in comparative analysis of performance.
LIMITATIONS
Limited comparability.
Effect of window dressing.
False results.
Costly technique.
6. RESEARCH METHODOLOGY
Research in common parlance refers to a search for knowledge.
It can also be defined as a scientific and systematic search for
pertinent information on a specific topic.
In simple words research is to get some knowledge, to come to
a conclusion for innovation.
REVIEW LITRETURE
A literature review is an evaluative report of information found
in the literature related to your selected area of study.
It should give a theoretical base for the research and help you
(the author) determine the nature of your research.
Works which are irrelevant should be discarded and those
which are peripheral should be looked at critically.
7. An Analysis of the Financial Performance of National Bank
Limited Using Financial Ratio. Md Aminul Islam stated that to
complete his task he had to use various materials and take help
form online source. Analyse the ratio here used financial ratio
analysis (FRA) method which help to draw a overview about
financial performance of the National bank limited in terms of
profitability, liquidity and credit performance.
Analysis of Financial Performance of Private Banks in
Pakistan. Syed Qasim shah stated that they used Regression
analysis and correlation technique in order to address the issue.
Bank size and Operational Efficiency is negatively related with
ROA and positive relationship was found with Assets
management ratio. The data is collected from Financial
Statements Analysis of Financial Sector issued by State bank of
Pakistan.
8. Financial analysis : Bollen (1999)conducted a study on Ratio
Variables on which he found three different uses of ratio
variables in aggregate data analysis: (1) as measures of
theoretical concepts, (2) as a means to control an extraneous
factor, and (3) as a correction for heteroscedasticity. In the use
of ratios as indices of concepts, a problem can arise if it is
regressed on other indices or variables that contain a common
component.
A financial Ratio Analysis of Commercial Bank Performance
in South Africa : Mabwe kumbirai & Robert stated that overall
bank performance increased considerably in the first two years
of the analysis. A significant change in trend is noticed at the
onset of the global financial crisis in 2007, reaching its peak
during 2008-2009.
9. The use of financial ratios as measures of risk in the
determination of the Bid-risk spread: Huldaha A. Ryan stated
that the present study extends this line of research by
examining the effect of risk, proxied by accounting risk
measures, on the bid-ask spread. the results indicate that a
model which includes both accounting risk measures and
market risk measures is a better fitted model that one which
includes either accounting risk measures or market risk
measures alone.
The Role of Financial Analysis Ratio in Evaluating
Performance: Abdel-rahman. El-dalabeeh stated that the study
concluded that having an administrator accountant to analyze
the financial statements of the National Chlorine industries
co.ltd leads to identify and explain the deviations and the
undesired extreme results.
10. OBJECTIVES
The first objective is to study the financial analysis techniques
in bank.
To analyze the financial performance of Punjab national bank.
LIMITATIONS
Firstly, this research is totally based on secondary data.
The reliability of data is dependent on its source.
12. PUNJAB NATIONAL BANK
Established in 1895 at Lahore, undivided India, Punjab
National Bank (PNB) has the distinction of being the first
Indian bank to have been started solely with Indian capital.
The bank was nationalised in July 1969 along with 13 other
banks.
Largest branch network in India -4525 Offices including
432 Extension Counters spread throughout the country.
Ranked as 248th biggest bank in the world by bankers
Almanac, London.
Well equipped dealing rooms; 20 different foreign currency
accounts are maintained at major centres all over the globe.
13. ACHIVEMENTS
Punjab National Bank announced its Q1FY2010 results on
29 July 2009, delivering 62% y-o-y growth in net profits to
Rs832 crore (Rs512cr).
While the bank’s deposit growth was reasonably robust at
4.4% sequentially and 26.5% y-o-y, unlike the peers its
growth in advances also remained strong at 38% y-o-y.
Other Income surged 113% y-o-y, driven by strong
treasury gains of Rs355 crore during the quarter in line
with industry trends, even as Fee income was also robust
at 45% y-o-y, on the back of strong balance sheet growth.
14. AWARDS AND DISTINCTIONS
Ranked among top 50 companies by the leading financial daily,
Economic Times.
Ranked as 323rd biggest bank in the world by Bankers
Almanac (January 2006), London.
Earned 9th place among India's Most Trusted top 50 service
brands in Economic Times- A.C Nielson Survey.
Golden Peacock Award for Excellence in Corporate
Governance - 2005 by Institute of Directors.
Included in the top 1000 banks in the world according to The
Banker, London.
16. CURRENT RATIO
CURRENT ASSETS
CURRENT LIABILITIES
It is a financial ratio that measures whether or not a firm has
enough resources to pay its debts over the next 12 months.
This ratio is used to assess the firm’s ability to meet its current
liabilities.
YEAR 2011 2012 2013 2014 2015
CURRENT
RATIO 2.8 2.6 2.3 3.4 3.7
17. If current ratio is below 1 (current liabilities exceed current
assets), then the company may have problems paying its bills
on time.
Here, Current ratio is more than 2, it means banks are liable to
pay their customers as and when they want to withdraw their
deposits.
0
0.5
1
1.5
2
2.5
3
3.5
4
2011 2012 2013 2014 2015
18. QUICK RATIO
CURRENT ASSETS – INVENTORIES
CURRENT LIABILITIES
It is an indicator of a company’s short-term liquidity.
The Quick ratio measures a company’s ability to meet its short-
term obligations with its most liquid assets.
YEAR 2011 2012 2013 2014 2015
QUICK
RATIO 2.8 2.6 2.2 3.4 3.7
19. If quick ratio is higher, company may keep too much cash on
hand or have a problem collecting its accounts receivable.
Here, Quick ratio is higher than 1:1, it means the business can
meet its current financial obligations with the available quick
funds on hand.
0
0.5
1
1.5
2
2.5
3
3.5
4
2011 2012 2013 2014 2015
20. DEBT EQUITY RATIO
TOTAL LONG TERM DEBT
SHAREHOLDERS FUND
It is a financial ratio indicating the relative proportion
of shareholders' equity and debt used to finance a company's
assets.
YEAR 2011 2012 2013 2014 2015
DEBT-
EQUITY
RATIO
1.8 1.5 1.3 1.4 1.2
21. A greater than 1 ratio indicates that the portion of assets
provided by creditors is greater than the portion of assets
provided by stockholders.
Here, Debt equity ratio is more than 1, it means indicates that
the portion of assets provided by creditors is greater than the
portion of assets provided by stockholders.
0
0.2
0.4
0.6
0.8
1
1.2
1.4
1.6
1.8
2011 2012 2013 2014 2015
22. PROPRIETARY RATIO
SHAREHOLDERS FUND
TOTAL ASSETS
Proprietary ratio (also known as Equity Ratio or Net worth to
Total assets or shareholder equity to total equity).
Establishes relationship between proprietor's funds to total
resources of the unit.
YEAR 2011 2012 2013 2014 2015
RATIO 0.04 0.05 0.06 0.06 0.06
23. A high proprietary ratio, indicates a strong financial position
of the company and greater security for creditors.
A low ratio indicates that the company is already heavily
depending on debts for its operations.
0
0.01
0.02
0.03
0.04
0.05
0.06
2011 2012 2013 2014 2015
24. NET PROFIT RATIO
NET PROFIT x 100
SALES
The net profit percentage is the ratio of after-tax profits to net
sales.
It reveals the remaining profit after all costs of production,
administration, and financing have been deducted from sales,
and income taxes recognized.
YEAR 2011 2012 2013 2014 2015
NET
PROFIT
RATIO
22.6 20.8 19.8 23.8 22.9
25. The higher the margin is, the more effective the company is in
converting revenue into actual profit.
A low profit margin indicates a low margin of safety.
Here, the Net profit ratio is higher, it means company indicates
high margin of safety.
0
5
10
15
20
25
2011 2012 2013 2014 2015
26. CAPITAL TURNOVER RATIO
SALES
CAPITAL EMPLOYED
This Ratio indicates the efficiency of the organization with
which the capital employed is being utilized.
A high capital turnover ratio indicates the capability of the
organization to achieve maximum sales with minimum amount
of capital employed.
YEAR 2011 2012 2013 2014 2015
RATIO 1.4 1.5 1.4 1.3 1.3
27. Efficient utilisation of capital would lead to higher profitability.
A high capital turnover ratio indicates the capability of the
organization to achieve maximum sales with minimum amount
of capital employed. Higher the capital turnover ratio better
will be the situation.
1.2
1.25
1.3
1.35
1.4
1.45
1.5
2011 2012 2013 2014 2015
28. FIXED ASSETS TURNOVER RATIO
SALES
FIXED ASSETS
A financial ratio of net sales to fixed assets.
The fixed-asset turnover ratio measures a company's ability
to generate net sales from fixed-asset investments -
specifically property, plant and equipment (PP&E) - net
of depreciation.
YEAR 2011 2012 2013 2014 2015
RATIO 10 12 13 14 15
29. A high fixed assets turnover ratio indicates better utilization
of fixed assets and a low ratio means inefficient or under-
utilization of fixed assets.
However, there might be situations when a high fixed asset
turnover ratio might not necessarily mean efficient use of
fixed assets.
0
2
4
6
8
10
12
14
16
2011 2012 2013 2014 2015
31. FINDINGS
PNB is having a distribution network of more than 4000
branches. This is the main strength of the PNB, which cannot
be the strength of any other bank.
Punjab National Banks are liable to pay their customers as and
when they want to withdraw their deposits.
It can meet its current financial obligations with the available
quick funds on hand.
Net Profit ratio of PNB indicates high margin of safety.
Graph of Debt equity ratio is decreasing which indicates that
the portion of assets provided by stockholders is greater than
the portion of assets provided by creditors.
Capital turnover ratio have increased in the year 2012.
32. CONCLUSIONS
Financial analysis provides a clear understanding of the
organization since it should be performed in conjunction with
other valuation techniques and in comparison with other
organizations within the same industry in which the entity
operates.
This project of Ratio analysis is not merely a work of project.
But a brief knowledge and experience of that how to analyze
the financial performance of the bank.
According to this project, on the basis of various techniques
applied for the financial analysis of PNB we can arrive at a
conclusion that the financial position and overall performance
of the bank is satisfactory.