This document summarizes a summer internship report on the financial statement analysis of Rajkot Nagarik Sahakari Bank Ltd. In 3 sentences:
The report analyzes various financial ratios of the bank from 2008-2009 to 2012-2013 such as net profit ratio, liquid ratio, cash ratio, earnings per share using tools like comparative statements, common sized statements and trend analysis. It finds that the bank has generally maintained good financial performance and efficiency over the years except for some ratios decreasing in later years. The intern concludes that Rajkot Nagarik Sahakari Bank Ltd. has established a good reputation and maintains a sound financial position in its market.
This document summarizes a summer internship report on the financial statement analysis of Rajkot Nagarik Sahakari Bank Ltd. In 3 sentences:
The report analyzes various financial ratios of the bank from 2008-2009 to 2012-2013 such as net profit ratio, liquid ratio, cash ratio, earnings per share using tools like comparative statements, common sized statements and trend analysis. It finds that the bank has generally maintained good financial performance and efficiency over the years except for some ratios decreasing in later years. The intern concludes that Rajkot Nagarik Sahakari Bank Ltd. has established a good reputation and maintains a sound financial position in its market.
This document summarizes a summer internship report on the financial statement analysis of Rajkot Nagarik Sahakari Bank Ltd. In 3 sentences:
The report analyzes various financial ratios of the bank from 2008-2009 to 2012-2013 such as net profit ratio, liquid ratio, cash ratio, earnings per share using tools like comparative statements, common sized statements and trend analysis. It finds that the bank has generally maintained good financial performance and efficiency over the years except for some ratios decreasing in later years. The intern concludes that Rajkot Nagarik Sahakari Bank Ltd. has established a good reputation and maintains a sound financial position in its market.
On RAJKOT NAGARIK SAHAKARI BANK LTD MULTISTATE SCHEDULED BANK FINANCIAL STATEMENT ANALYSIS Submitted To Geetanjali Institute of Management Studies Institute Code: 766 Under The Guidance Of Prof. Divyang Tiwari (Assistant professor) In Partial Fulfillment of Requirement of The Award of the Degree of Master of Business Administration (M.B.A.) Offered By Gujarat Technological University Ahmadabad Prepared By: KACHA HETAL ROHITBHAI M.B.A. (Semester-II/III) Enrollment no.: 137660592029 Academic year 2013-15 Nagarik Bank Was Established On 5 th October 1953 With A Small Capital Of Rs. 4890 And Membership Of 59 Persons. Bank celebrating 50 th anniversary on 2003 year. Bank is enjoying the SCHEDULE BANK status since 1989. In 2001 bank was registered UNDER MULTI- STATE CO-OPERATIVE SOCIATY ACT. Name of the Bank Rajkot Nagarik Sahakari bank Year of establishment 5 th October 1953 Form of organization Multistate Schedule Bank Branches 32 branches Accounting Year 1 st April to 31 st March MISSION Fully Computerization Fast Advances More Co-operative More service Availability To increase the use of new technology Satisfy the customer needs and wants To cope up with the competition VISION '0' Non Performing Assets. Branch opening at every state of India. Online internet connection with every branch. Achieve the level of corporate governance. Fully ISO certified bank. Deposits 100% Recovery Loans Term Loans Education loans Secured loans Personal Loans Vehicle Loans Home Loans RUDA (Rajkot Urban development authority )loans Computer loan Industrial loan Equipment or machinery loan Gold loan Bank Guarantee Deposits: Current Deposits Saving Deposits Term Deposits Recurring Deposits Other services Locker System ATM facility SMS facility The RNSB getting best social project award in 2012 "SOCIAL BANKING NATIONAL AWARD" "BANKING FRONTIER" a leading financial magazine conferred two awards for "INCOME RATIO" and "DEPOSIT RATIO". Main service Transfer Clearing Cash Loan Fixed deposits Other services Locker facility Demand draft Depository service Demat RTGS(Real time gross settlement ) NEFT ( National electronic fund transfer) OBC( Out ward bill of collection) ABB(Any branch banking) I use the secondary data collection for the research. Financial statement analysis it has various tools as follows: 1. Comparative statement 2. Common sized statement 3. Tread analysis 4. Ratio analysis To know over how the bank is working. The objective of the study is to analysis of the financial data by which we known about the position of the bank in compare to past year. Financial planning, financial control, & financial analysis is getting by the research. Formation of an appropriate capital structure. Assets-liability management LITERATURE REVIEW 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. For example, the relationship between two per capita measures may be confounded with the common population component in each variable. Regarding the second use of ratios, only under exceptional conditions will ratio variables be a suitable means of controlling an extraneous factor. Finally, the use of ratios to correct for heteroscedasticity is also often misused. Only under special conditions will the common formforgerssoonwithratiovariables correct for heteroscedasticity. Alterna tives to ratios for each of these cases are discussed and evaluated. Sergio(1996) from Italy: In a study of non-performing loans in Italy found evidence that, an increase in the riskiness of loan assets is rooted in a bank's leading policy adducing to relatively unselective and inadequate assessment of spectral prospects. In the governmental accounting area, Miller and Van Daniker (1999) conducted a survey to uncover the changes that have been taken place in government accounting education during the past five years and those that will likely occur during the next five years. 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 18.00% 2008-09 2009-10 2010-11 2011-12 2012-13 N E T
P R O F I T
R A T I O 2008-09 2009-10 2010-11 2011-12 2012-13 Ratio 13.44% 12.62% 16.91% 14.71% 12.94% NET PROFIT RATIO 0 0.5 1 1.5 2 2.5 3 2008-09 2009-10 2010-11 2011-12 2012-13 L I Q U I D
R A T I O 2008-09 2009-10 2010-11 2011-12 2012-13 RATIO 2.17 1.89 1.75 2.04 2.57 LIQUID RATIO 2008-09 2009-10 2010-11 2011-12 2012-13 RATIO 0.66 0.45 0.47 0.51 0.55 0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 C A S H
R A T I O CASH RATIO 0 10 20 30 40 50 60 70 2008-09 2009-10 2010-11 2011-12 2012-13 E A R N I N G
P E R
S H A R E
2008-09 2009-10 2010-11 2011-12 2012-13 RATIO 47.26 35.36 48.32 51.54 66.15 EPS 2008-09 2009-10 2010-11 2011-12 2012-13 Ratio 66.61% 67.98% 70.25% 70.05% 65.29% 62.00% 63.00% 64.00% 65.00% 66.00% 67.00% 68.00% 69.00% 70.00% 71.00% C A S H
C R E D I T
D E P O S I T
R A T I O CASH CREDIT DEPOSIT RATIO Ratio 0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% 2008-09 2009-10 2010-11 2011-12 2012-13 R E T U R N
O N
E Q U I T Y
C A P I T A L
R A T I O 2008-09 2009-10 2010-11 2011-12 2012-13 Ratio 66.65% 60.94% 85.03% 113.49% 94.15% Ratio In the FY 2008-2009 showing as an increase tendency in liquid ratio. Again in the FY 2012-2013 also showing increase the tendency in the ration its shows the positive effect. Cash ratios are decreasing in 2 nd & 3 rd years and growing up next coming two FY 2011-12 & 2012-13. Banks liquidity is not good. Because, the cash ratio in FY 2008-09 is more compare to FY 2012-13. Financial efficiency of the bank is very excellent. Because the bank have less or no NPA so, its indicates positively. It is shows in balance sheet. FY 2008-09 the credit deposit ratio is 66.61% it is increase in 3 year after that it is decrease it is show the negative tendency. Return on equity capital ratio is increase in first 4 year and the last year it is decrease. Net profit is also decrease in last year it is negative tendency of the bank. I would like to conclude that RNSB is having a good reputation. I have good experience during my training period. I was having a detail study of all departments in the bank. I can say that under the guidance of very experienced managers, today this bank is one of the most & leading bank in Rajkot city. The bank efficiency & smooth going personnel department & financial position it is maintaining good relationship with the industries, debtors, creditors and employee, officers & other. Thus effective management of bank has very much performance us. The overall performance of RNSB is really good & sound position in market. I wish the bank a delight & bright future. Sr.no. Name Of Book Author 1. Marketing Management Philip Kotler 2. Human Resources Management Gargy Dessler & Biju Varkkery 3. Financial Management I MPandey 4. Cost & Management Accounting Ravi Kishore Sr.no. 1. Annual report year 2009-2010 2. Annual report 2010-2011 3. Annual report 2011-2012 4. Annual report 2012-2013 Thank you