FINANCIAL STATEMENT

TABLE : 1.1

BALANCEcSHEET OF VIJAYA BANKz (in Rs cr)

Particulars March 181 March 177 March 169 March 156 March 147
125 month 120 month 121 month 124 month 129 month

Total share 1,304.15 998.85 932.56 859.12 859.12

investment
Equity share 1,304.15 998.85 932.56 859.12 859.12
capital
Share 0.00 0.00 220 0.00 0.00
application
money
Reserves 8,532.54 6322.18 5,598.30 5,064.12 4,779.81
Revaluation 790.51 830.47 873.86 236.52 248.99
reserves
Net worth 10,627.20 8,151.50 7,624.72 6,159.76 5,887.92
Deposits 1,57,287.54 1,33,011.95 1,25,440.72 1,26,343.35 1,24,296.16
Borrowings 7,299.79 11,061.80 10,300.57 7,278.19 4,744.80
Total debt 1,64,587.33 1,44,073.75 1,35,741.29 1,33,621.54 1,29,040.96
Other liability 2,417.52 2,656.34 2,042.72 2,861.79 2,429.73
and provisionst
Total 91,77,632.05 01,54,881.59 11,44,534.87 81,42,643.09 01,37,358.61
liabilities
Marchh18 Marchj17 Marchs16 Marchc15 Marchn14
Cash and 4,303.70 5,770.42 6268.35 6,534.29 5,540.21
Balances with
RBI
Balance with 666.54 160.29 351.2o 817.54 3,917.45
banks, and
money at call
Advances 1,16,165.44 94,548.89 88986.96 86,695.86 81,504.03

19
 Investments 39,511.66 44,424.55 41842.49 44,522.10 42,585.38
Gross block 1,300.49 1,318.76 1286.91 566.64 528.95
Net block 1,300.49 1,318.76 1286.91 566.64 528.95
Capitalowork in 0.991 0.00 1.398 0.009 0.005
progress
Other assets 15,683.23j 8,658.67q 6671.44 3,506.65 3,282.59
Total-assets 1,77,632.05 1,54,881.58 1,45,408.74 1,42,643.08 1,37,358.61
Contingentw 24,167.81 18,201.36 45978.20 16,561.10 15,358.44
liabilities
Book value (Rs) 75.43 73.29 70.03 68.95 65.64

TABLE : 1.2

PROFIT AND LOSSkACCOUNT OFk VIJAYA BANK ---------------K -------------------InRsNCr.

Mar-18 Mar-17 Mar-16 Mar-15 Mar-14
128 months 12 months 12 months 12 months 12 months
INCOMEp
Interest / DiscountIon Advances / 9,027.61 8,734.80 8,847.46 8,608.72 7,713.61
Bills Income from Investments 3,083.82 3,359.09 2,955.22 3,346.87 2,605.02
InterestPon BalanceJwith RBIOand
2.83 0.44 0.24 3.08 3.05
OtherVInter-Bank fundsK
Others 475.59 285.12 280.66 314.86 384.88
Total InterestPEarned 12,589.84 12,379.46 12,083.58 12,273.53 10,706.56
OtherDIncome 1,600.61 1,651.26 873.86 878.96 709.87
TotalBIncome 14,190.45 14,030.72 12,957.44 13,152.49 11,416.43
EXPENDITURE:
InterestHExpended 8,286.95 8,873.02 9,322.74 9,981.25 8,623.15
Provisions and payment to employees 1,607.36 1,747.89 1,246.97 1,165.55 1,039.80
Depreciation 102.38 82.81 71.49 54.53 64.15
Operating Expenses (excludes
1,095.95 905.85 767.36 692.13 585.60
Employee Cost & Depreciation)
Total Operating Expenses 2,805.70 2,736.55 2,085.82 1,912.21 1,689.55

20
Provision Towards Income Tax 524.74 307.76 0.00 12.54 100.00
Provision Towards Deferred Tax -268.55 -143.76 -223.44 -52.05 -67.96
Other Provisions and Contingencies 2,114.59 1,506.67 1,390.51 859.13 655.78
Total Provisions and Contingencies 2,370.78 1,670.67 1,167.07 819.62 687.82
Total Expenditure 13,463.43 13,280.24 12,575.64 12,713.08 11,000.52
Net Profit / Loss for The Year 727.02 750.49 381.80 439.41 415.91
Net Profit / Loss After EI & Prior Year
727.02 750.49 381.80 439.41 415.91
Items
Profit / Loss Brought Forward 1,274.85 1,337.24 1,102.19 934.28 958.99
Total Profit / Loss available for
2,001.88 2,087.73 1,483.98 1,373.68 1,374.90
Appropriations
APPROPRIATIONS
Transfer To / From Statutory Reserve 181.76 187.62 95.45 109.85 103.98
Transfer To / From Special Reserve 80.00 80.00 0.00 0.00 157.62
Transfer To / From Capital Reserve 88.30 364.93 51.29 6.54 13.64
Equity Share Dividend 188.36 180.33 0.00 132.57 165.38
Tax On Dividend 0.00 0.00 0.00 22.53 0.00
Balance Carried Over To Balance Sheet 1,463.47 1,274.85 1,337.24 1,102.19 934.28
Total Appropriations 2,001.88 2,087.73 1,483.98 1,373.68 1,374.90
OTHER INFORMATION
EARNINGS PER SHARE
BasicfEPS (Rs.) 6.830 7.572 4.444 5.1159 7.647
Diluted EPS (Rs.) 6.83 7.57 4.44 5.11 7.64
DIVIDEND PERCENTAGE
Equity Dividend Rate (%) 12.002 15.009 0.009 15.006 20.003

21
ANALYSIS AND INTERPRETATION OF DATA

RATIO ANALYSIS

1. CURRENT RATIO:
The current ratio is a liquidity ratio that measures whether or not a firm has

enough resources to meet its short-term obligations. It thinks about an association's

present advantages for its presentlliabilities, and is communicated as pursues:

Current Assets
Current ratio =
Current Liabilities
TABLE 4.1: SHOWING CURRENT RATIO FROM THE YEARx2013 TO 2018

CURRENTlRATIO

currentvassets(Rs in currentcliabilities( Rs in
Yearv crores) crores ratiom
2013-
14 3,282.59 2,429.73 1.35
2014-
15 3,506.65 2861.79 1.23
2015-
16 6,671.44 2,042.72 3.27
2016-
17 8,658.67 2656.34 3.26
2017-
18 15,683.23 2,417.52 6.49
ANALYSIS :

From the above table current ratio is 1.35:1 in the year 2013-14, that means the current assets
are less compared to the standard ratio that is 2:1, That shows that current liability was more.
In the year 2015-16 the ratio of current assets over current liabilities is increased to 3.27:1,
that means the Vijaya bank has met the standard current ratio. It was remain more or less

43
same in the year 2016-17. In the year 2017-18 the current ratio of Vijaya Bank is 6.49:1 .
which states that the Bank has a sufficient current assets over current liabilities.

GRAPH 4.1: SHOWING CURRENT RATIO FROM THE YEAR 2013 TO 2018

20000
18000
16000
14000 current ratio ratio

12000
10000 current ratio current liabilities
( Rs in crores
8000
6000
current ratio current assets
4000 (Rs in crores)

2000
0
2013-14 2014-15 2015-16 2016-17 2017-18

Interpretation:
So we can say that the Vijaya Banks current assets are increased over a period of time. In the base
year 2013-14 the current ratio of Bank was 1.35:1 .Which was not up to the standard ratio 2:1. In
the year 2014-15 the current assets of Bank has been decreased to 1.23. after the years like 2015-
16, 2016-17 and 2017-18 it has been increased to 3.27:1 , 3.26:1, and 6.49:1 respectively. In the
years 2015-16 and 2016-17 there was no much difference between the current assets ratio, it was
more or less same and it was up to the standard ratio. But in the year 2017-18 the current ratio of
Vijaya bank has been increased to 6.49:1, which shows that the current assets of Vijaya Bank has
been increased much as compared to base year 2013-14.

44
 2. FIXED ASSETS TO NET WORTH RATIO
Fixed assets to net worth is a ratio measuring the solvency of a company.
This ratio indicates the extent to which the owner’s cash is frozen in the form of
fixed assets, such as property, plant and the extent to which funds are available for
the company’s operations.

Fixed Assets

Fixed assets to net worth ratio = *100

Share holder’s fund

TABLE 4.2 : FIXED ASSETS TO NET WORTH RATIO

FIXED ASSET TO NET WORTH RATIO

YEAR Fixed assets( Rs in crore) Share holders fund ( Rs. In crore) PERCENTAGE

2013-14 528.95 5,887.92 8.98

2014-15 566.64 6,159.75 9.20

2015-16 1288.29 7,404.72 17.40

2016-17 1,318.76 8,151.49 16.18

2017-18 1,301.48 10,627.20 12.25

Analysis:

From the above table the fixed assets to net worth is 8.98% in the base year 2013-14 and it
has been increased to 9.20% in the year 2014-15. It has been increased to 17.40, 16.18 in the
year 2015-16 , 2016-17 respectively. But it has been decreased to 12.24 in the year 2017-18.

45
 GRAPH 4.2: SHOWING FIXED ASSETS TO NET WORTH RATIO FROM THE
YEAR 2013 TO 2018

12000

10000
PERCENTAGE

8000
RATIO

6000
SHARE HOLDERS FUND ( Rs.
In crore)
4000 FIXED ASSETS ( Rs in crore)

2000

0
2013-14 2014-15 2015-16 2016-17 2017-18

INTERPRETATION:

From the above graph we can say that there is increase in the percentage in the year 2017-18,
that is 8.98% compared to the base year 2013-14. But it has been decreased in the year

2017-18 compared to year 2016-17, that means in the year 2016-17 it was 16.18% but it has
been reduced to 12.25% in the year 2017-18. In the year 2015-16 the percentage of ratio was
drastically increased that is 17.40% compared to the base year 2013-14 . so we can say that
there is a fluctuation in the percentage of fixed assets to net worth ratio. Which indicates that
the bank has been increased its investment in fixed assets till 2015-16 but later the year it has
been decreased.

3. PROPRIETARY RATIO
The proprietary ratio is also known as equity ratio is the proportion of shareholder’s
equity to total assets, and as such provides a rough estimate of the amount
of capitalization currently used to support a business.

46
 share holders equity

proprietary ratio = *100

total assets

TABLE 4.3: SHOWING PROPRIETARY RATIO FROM THE YEAR 2013 TO

2018

PROPRIETARY RATIO

Share holder's fund ( Rs. In Total Asset ( Rs. In PER

YEAR crore) crore) CENTAGE

2013-14 5,887.92 1,37,358.61 4.29

2014-15 6,159.75 1,42,643.09 4.32

2015-16 7,404.72 1,45,408.74 5.09

2016-17 8,151.49 1,54,881.58 5.26

2017-18 10,627.20 1,77,632.05 5.98

Analysis:

From the above table proprietary ratio was 4.29% in the base yeark2013-14. It has been
increased to 4.32% in the yearl2014-15. It has been increased 5.09 , 5.26 , 5.98 in the year
2015-16 , 2016-17, 2017-18 respectively.

47
GRAPH 4.3: SHOWING PROPRIETARY RATIO FROM THE YEAR 2013 TO 2018

200000

180000

160000
PER CENTAGE
140000

120000 RATIO

100000
Total Asset ( Rs. In crore)
80000

60000 Share holder's fund ( Rs.

In crore
40000

20000

0
2013-14 2014-15 2015-16 2016-17 2017-18

Interpretation:
Hence, we can say that the proprietary ratio increased in the year2017-18 compared to base
year 2013-14. In the base year 2013-14 it was 4.29 and later on it has been increased to 4.32
% in the year 2014-15that means there was a small number of increase in ratio. After that
years like 2015-16, 2016-17 and 2017-18 the percentage of changes in proprietary ratio was
more or less same, that means it was nearly 5.09 to 5.98. On the off chance that the
proportion is high, this shows an organization has an adequate measure of value to help
the Elements of business, and to most likely has space in its budgetary structure to assume
extra obligation, if important. So we can say that the Vijaya Bank has an adequate measure of
value to help the capacity of business.

48
 4. RETURN ON NET WORTH RATIO
Return on Net Worth is used in finance as a measure of a company’s profitability. It
reveals how much profit a company generates with the money that the equity
shareholders have invested.

Net profit
Return on Net Worth = *100
Net worth
TABLE 4.4: SHOWING RETURN ON NETWORTH RATIO FROM THE
YEAR 2013 TO 2018

RETURN ON NET WORTH RATIO

YEAR NET PROFIT NET WORTH RONW

2013-14 1,374.90 5,887.92 23.35

2014-15 1,373.68 6,159.76 22.30

2015-16 1,483.98 7,624.72 19.46

2016-17 2,087.73 8,151.50 25.61

2017-18 2,001.88 10,627.20 18.84

Analysis:

From the above table Return on Net Worth Ratio, the RONW ratio was 23.35% in the base
year 2013-14. It has been decreased to 22.30 in the year 2014-15 and 19.46 in the year 2015-
16. It has been increased in the year 2016-17 that is 25.61. but later it has been decreased to
18.84 in the year 2017-18. So we can say that the Return on Net Worth ratio is fluctuating
compared to base year 2013-14.

49
GRAPH 4.4: SHOWING RETURN ON NET WORTH RATIO FROM THE YEAR
2013 TO 2018

Return on Net Worth

14,000.00

12,000.00

10,000.00 RETURN ON NET WORTH RATIO

RONW
8,000.00
RETURN ON NET WORTH RATIO
NET WORTH
6,000.00
RETURN ON NET WORTH RATIO
4,000.00 NET PROFIT

2,000.00

0.00
2013-14 2014-15 2015-16 2016-17 2017-18

Interpretation:
So we can say that there is a fluctuation in ratio’s when compared to base year 2013-14. In
the base year it was 23% but after the years like 2014-15 and 2015-16 it has been decreased,
which indicates that there is a decrease in the profitability of the bank. In the year 2016-17 it
has been increased to 25%, which states that there is an improvement in the bank’s
profitability. In the year 2017-18 it was again reduced to 18%. By compared to the whole 5
years percentage we can say that there is a fluctuation in the bank’s profitability.

50
 5. CAPITAL ADEQUACY RATIO
Capital Adequacy Ratio is otherwise called Capital to Risk Assets Ratio, is the
proportion of a bank's cash-flow to its hazard. National controllers track a bank's CAR
to guarantee that it can retain a sensible measure of misfortune and conforms to
statutory Capital prerequisite.
TABLE 4.5: SHOWING CAPITAL ADEQUACY
RATIO FROM THE YEAR 2013 TO 2018.

CAPITAL ADEQUACY RATIO(%)

YEAR PERCENTAGE

2013-14 11

2014-15 11

2015-16 13.00

2016-17 13

2017-18 14.00

Analysis:
From the above table we can observe that the capital adequacy is 11% in the year 2013-14
and it was remain same in the year 2014-15. In the year 2015-16 it has been increased to
13%. In the year 2017-18 it increased to 14%. So we can say that there is gradually
increasing in the capital adequacy ratio compared to base year 2013-14.

51
 GRAPH 4.5: SHOWING CAPITAL ADEQUACY RATIO FROM THE
YEAR 2013 TO 2018

Capital Adequacy
14

12

10
Series5
8 Series4
Series3
6 Series2
Series1
4

0
1 2 3 4 5 6 7 8 9 10 11 12 13

Interpretation:

Thus, we can say that there is gradually increase in the capital adequacy of the bank.
The capital adequacy measure the lbank’s capital. It is expressed as a percentage of a
bank’s risk weighted credit exposures. In above graph we can say that the Vijaya
Bank’s capital adequacy was 11% in the base year 2013-14 and it has been increased
to 13% in the year 2015-16. In the year 2017-18 it has been increased to 14%. So this
may states that the Bank is in the position of intended to protect depositors and
promote stability and efficiency of financial system.

52
6. EARNING PER EQUITY SHARE

Earning per share (EPS), also called net income per share, is a market prospect ratio
that measures the amount of net income earned per share of stock outstanding. In other
words, this is the amount of money each share of stock would receive if all of the
profits were distributed to the outstanding shares at the end of the year.

Net Profit after Tax & Preference Dividend

Earning per Eq. Share =
No. of Equity Share

TABLE 4.6: Showing EPS for the period of 2013 to 2018

EARNINGS PER EQUITY SHARE RATIO

YEAR EPS

2013-14 6.83

2014-15 7.57

2015-16 4.44

2016-17 5.11

53
ANALYSIS:

From the above table the Earning Per Equity Share in the year 2013-14 was 6.83 per
share. In the year 2014-15 it has been increased to 7.57 per share. But in the next
financial year 2015-16 it has been decreased to 4.44 per share. In the year 2017-18 the
earning per share has been increased to 7.64 per share.

54
GRAPH 4.6: Showing Earning Per Equity Ratio for the Period 2013
to 2018

Earning per Equity Share

8
7
6
5 EARNINGS PER EQUITY
SHARE RATIO EPS
4
3 EARNINGS PER EQUITY
SHARE RATIO YEAR
2
1
0
1 2 3 4 5 6 7 8 9 10

INTERPRETATION:

Thus, we can say that the earnings per share of Vijaya Bank is fluctuating over a
period of 5 years . in the base year 2013-14 the EPS was 6.83 per share. In the next
year 2014-15 it has been increased to 7.57 per share . but in the year 2015-16 and
2016-17 it has been decreased to 4.44 per share and 5.11per share respectively, that
means the equity share holder’s of Vijaya Bank gets low earnings on their holdings.
In the year 2017-18 it has been increased to 7.64 per share .
EPS tells how much money the company is making in profits per every
outstanding .share of stock The higher the EPS of Vijaya bank tells that its shares are
more worth.

55
7. EQUITY RATIO
Equity ratio is a financial ratio indicating the comparative proportion of equity used to
economics a company’s assets. The equity ratio is an investment leverage or solvency
ratio that measures the amount of assets that are financed by owner’s funds by
comparing the total equity in the company to the total assets.
Shareholder’s Fund
Equity ratio =
Total Assets
TABLE 4.7: Showing Equity Ratio for the period 2013 to 2018

EQUITY RATIO

SHARE HOLDER'S TOTAL EQUITY

YEAR EQUITY ASSETS RATIO
2013-
14 5,887.92 13,269.20 0.44
2014-
15 6,159.75 11,425.12 0.54

2015-
16 7,404.72 14,579.28 0.51
2016-
17 8,151.49 15,908.14 0.51
2017-
18 10,627.20 21,954.95 0.48

ANALYSIS:

From the above table, the Equity Ratio says that the in the year 2013-14 it was 0.44. it
has been increased to 0.54 in the year 2014-15. In the year 2015-16 and 2016-17 it
remains the same that is 0.51. In the year 2017-18 it has been decreased to 0.48.

56
GRAPH 4.7: Showing Equity Ratio for the period of 2013 to 2018

EQUITY RATIO
35,000.00

30,000.00

25,000.00
EQUITY RATIO EQUITY RATIO
20,000.00
EQUITY RATIO TOTAL ASSETS
15,000.00

10,000.00 EQUITY RATIO SHARE

HOLDER'S EQUITY
5,000.00

0.00

INTERPRETATION:
Hence, the equity ratio tells that higher the debt equity higher the risk and Vic versa.,
from the above graph we can say that there is no much changes from the year 2013 to
2018. In the year 2013 it was 0.44. in the year 2014-15 it has been increased to 0.51.
In the year 2015-16 and 2016-17 the equity ratio remains same 0.51. in the year 2017-
18 it has been decreased to 0.48 . So we can say that the vijaya bank’s equity ratio is
decreased in the current year 2017-18 Which means the risk in equity is less
compared to base year 2013-14.

57
 COMMON SIZE BALANCE SHEET

TABLE 4.8: SHOWING COMMON SIZE BALANCE SHEET -2015

COMMON SIZE BALANCE. SHEET FOR THE YEAR ENDING 31

MARCH 2015

PARTICULARS 2014 2015

Rs % Rs %
A. CURRENT.kASSETS
Cash and. Balance with RBI 5,540.21 4.03 6,534.29 4.58
Balance.with banks money.at call and.short notice 3,917.45 2.85 817.54 0.57
other assets 3,282.59 2.39 3,506.65 2.46
Total Current Assets 12,740.25 9.28 10,858.48 7.61

B. FIXED. ASSETS
Fixed assets 528.95 0.39 566.64 0.40
Investments 42,585.38 31.00 44,522.10 31.21
Advances 81,504.03 59.34 86,695.86 60.78
Total Fixed Assets (B) 124618.36 90.72 1,31,784.60 92.39

TOTAL ASSETS ( A+B) 1,37,358.61 100 1,42,643.08 100

LIABILITIES AND CAPITAL

C. CURRENToLIABILITY
OtheruLiabilities andpProvisions 2,429.73 1.77 2,861.79 2.01
TotalhCurrentmLiabilities © 2,429.73 1.77 2,861.79 2.01

D. LONG TERM LIABILITIES

Share Holder's Fund 5,887.92 4.29 6,159.75 4.32
Deposits 1,24,296.16 90.49 1,26,343.35 88.57
Borrowings 4,744.80 3.45 7,278.19 5.10
Total Long Term Liability (D) 1,34,928.88 98.23 1,39,781.29 97.99

TOTAL LIABILITIES AND CAPITAL ( C+D) 1,37,358.61 100 1,42,643.08

100

58
INTERPRETATION:
from the above common size balance sheet for the year ending 31 March 2015 we can
say that the amount invested on fixed asset in the year 2014 to 2015 is increased. In
the year 2015 the current assets percentage has been decreased around 2%. Which
shows that the investment ion fixed assets in the year 2015 is increased. The bank has
concentrating on investments and advances and which decreases the working capital
to meet its day today activities.
From the study of current liabilities we can say that current liabilities can increased
from the year 2014 to 2015, that is 1.77 in the year 2014 and 2.01 in the year 2015.
The bank has been decreased its long term obligations or liabilities, that is 98.23 in
the year 2014 and 97.99 in the year 2015.
So we can say that the bank is tries to increase its fixed assets and tries to reduce its
long term obligations.

59
 TABLE 4.9: COMMON SIZE BALANCE SHEET -2016

COMMONpSIZE BALANCEjSHEET FORkTHE YEAR ENDING 31

MARCH 2016

PARTICULARS 2015 2016

Rs % Rs %
A. CURRENT ASSETS
Cash and balance with RBI 6,534.29 4.58 6,268.35 4.31
Balance with banks money at call and short notice 817.54 0.57 351.2 0.24
Other assets 3,506.65 2.46 6,671.44 4.59
Total current assets(A) 10,858.48 7.61 13,290.99 9.14

B. FIXED ASSETS
Fixed assets 566.64 0.40 1,288.29 0.89
Investments 44,522.10 31.21 41,842.49 28.78
Barrowings 86,695.86 60.78 88,986.96 61.20
Total fixed assets(B) 131784.6 92.39 1,32,117.74 90.86

TOTAL ASSETS(A+B) 1,42,643.08 100 1,45,408.73 100

LIABILITIES AND CAPITAL

C. CURRENT LIABILITIES
Other Liabilities and Provisions 2,861.79 2.01 2,042.72 1.40
Total current liabilities© 2,861.79 2.01 2,042.72 1.40

D. LONG TERM LIABILITIES

Share holder's fund 6,159.75 4.32 7,404.72 5.09
Deposits 1,26,343.35 88.57 1,25,440.72 86.27
Barrowings 7,278.19 5.10 10,520.57 7.24
Total long term liabilities(D) 1,39,781.29 97.99 1,43,366.01 98.60

TOTAL LIABILITIES AND CAPITAL (C+D) 1,42,643.08 100 1,45,408.73 100

60
INTERPRETATION:
From the above common size balance sheet for the year 2016 we can analyse that the
bank’s current assets in the base year 2015 was 7.61% and in the year 2016 it has
been increased to 9.14%. so we can say that there is a increase in the current assets.
And in the fixed assets it has been reduced compared to the base year 2015, that
means the percentage in the year 2015 was 92.39 but in the year 2016 it has been
reduced to 90.86%.
The other part of the balance sheet shows the current liabilities and long term
liabilities. For this analysis we can see that the percentage of current liabilities has
been decreased to 2 % to 1.40 %. It states that the bank’s current obligation is reduced
compared to the base year 2015. There was a increase in the long term liabilities
around 1%. In the base year it was 97.99 % and it has been increased to 98.60% in the
year 2016.

61
 TABLE 4.10 : COMMON SIZE BALANCE SHEET -2017

COMMONiSIZE BALANCEkSHEET FORxTHE YEAR ENDING 31

MARCH 2017
PARTICULARS 2016 2017
Rs % Rs %
A. CURRENT ASSETS
Cash and balance with RBI 6,268.35 4.31 5,770.42 3.73
Balance with banks money at call and short
notice 351.2 0.24 160.29 0.10
Other assets 6,671.44 4.59 8,658.67 5.59
Total current assets(A) 13,290.99 9.14 14,589.38 9.42

B. FIXED ASSETS
Fixed assets 1,288.29 0.89 1,318.76 0.85
Investments 41,842.49 28.78 44,424.55 28.68
Advances 88,986.96 61.20 94,548.89 61.05
Total fixed assets(B) 1,32,117.74 90.86 1,40,292.20 90.58
TOTAL ASSETS(A+B) 1,45,408.73 100 1,54,881.58 100

LIABILITIES AND CAPITAL

C. CURRENT LIABILITIES
Other Liabilities and Provisions 2,042.72 1.40 2,656.34 1.72
Total current liabilities© 2,042.72 1.40 2,656.34 1.72

D. LONG TERM LIABILITIES

Share holder's fund 7,404.72 5.09 8,151.49 5.26
Deposits 1,25,440.72 86.27 1,33,011.95 85.88
Barrowings 10,520.57 7.24 11,061.80 7.14
Total long term liabilities(D) 1,43,366.01 98.60 1,52,225.24 98.28

TOTAL LIABILITIES AND CAPITAL

(C+D) 1,45,408.73 100 1,54,881.58 100

62
INTERPRETATION:
From the above table of common size balance sheet of 31 March 2017, we can
analyse that in the base year 2016 the total current asset is 9.14% and it has been
increased to 9.42% in the year 2017 . The fixed assets in the year 2016 was 90.86%
and there is a slide decrease in the year 2017 that is 90.58 . Which shows that the
Vijaya Bank has been reduces it’s investment on fixed assets in small number .
By analysing the current Liabilities and long term Liabilities and capital of Vijaya
Bank , we can say that the current Liabilities in the year 2016 was 1.40 and it has
been increased to 1.72 in the year 2017 .which says that the bank’s current obligation
increased . In the year 2016 the long term Liabilities of Bank was 98.60 and it was
reduced to 98.28 in the year 2017 .so there is no much difference in the long term
Liabilities .

63
 TABLE 4.11: SHOWING COMMON SIZE BALANCE SHEET -2018

COMMON SIZE BALANCE SHEET FOR THE YEAR ENDING 31

MARCH 2018
PARTICULARS 2017 2018
Rs % Rs %
A. CURRENT ASSETS
Cash and balance with RBI 5,770.42 3.73 4,303.70 2.42
Balance with banks money at call and short
notice 160.29 0.10 666.54 0.38
Other assets 8,658.67 5.59 15,683.23 8.83
Total current assets(A) 14,589.38 9.42 20,653.47 11.63

B. FIXED ASSETS
Fixed assets 1,318.76 0.85 1,301.48 0.73
Investments 44,424.55 28.68 39,511.66 22.24
Advances 94,548.89 61.05 1,16,165.44 65.39
Total fixed assets(B) 1,40,292.20 90.58 1,56,978.58 88.37

TOTAL ASSETS(A+B) 1,54,881.58 100 1,77,632.05 100

LIABILITIES AND CAPITAL

C. CURRENT LIABILITIES
Other Liabilities and Provisions 2,656.34 1.72 2,417.52 1.36
Total current liabilities© 2,656.34 1.72 2,417.52 1.36

D. LONG TERM LIABILITIES

Share holder's fund 8,151.49 5.26 10,627.20 5.98
Deposits 1,33,011.95 85.88 1,57,287.54 88.55
Barrowings 11,061.80 7.14 7,299.79 4.11
Total long term liabilities(D) 1,52,225.24 98.28 1,75,214.53 98.64
TOTAL LIABILITIES AND CAPITAL
(C+D) 1,54,881.58 100 1,77,632.05 100

64
INTERPRETATION:
From the above common size balance sheet for the year ending 31 March 2018 of
Vijaya Bank, explains that the current Assets of the bank was 9.42% in the year 2017
and it has been increased to 11.63% in the year 2018 . Compared to the base year the
current Assets increased by 3%. In the year 2017 the investment on fixed assets was
90.58% and it has been reduced to 88.37% in the year 2018.
In the year 2017 the current Liabilities of the bank was 1.72% and it has been reduced
to 1.36% in the year 2018 .in the year 2017 the long term Liabilities of the bank was
98.28% and it has been increased to 98.63% in the year 2018. There is a small change
in this percentage .

65
CHAPTER -5
FINDINGS, CONCLUSION AND SUGGESTIONS

5.1 FINDINGS

1. Table 1 current ratio shows that the ratio was increasing every year.
2. From the table 2 fixed assets to net worth ratio, the percentage of ratio is
increasing from the year 2014 to 2018.
3. In table 3 the proprietary ratio is also increasing and it shows upward move.
4. Return on Net Worth was fluctuated over a period. It was decreased during the
year 2013-14 to 2015-16. but later on it increases in 2016-17 .in 2017-18 it was
again decreased.
5. From the analysis of common size balance sheet we found that :
i. The share holder’s fund may drastically increase over a period of time.
That means the Bank has collected a fund through equity shares.
ii. Increasing in share holder’s funds leads to increase in Bank’s liability .

iii. The Vijaya Bank’s deposits and barrowings also increases in the last 5
years.

iv. From the analysis of balance sheet we can find that, the cash balance with
Reserve Bank of India is increased from the year 2014 to 2016. But after
that the balance is decreased.

v. The balance with Money at Call and Short Notice is decresed by the
Vijaya Bank.

vi. The Vijaya Bank has increasing it’s investment on fixed assets over a
period of time. In the year of 2014 to 2016 its is more or less similar but in
the year 2017 it invested double the amount in purchase of fixed assets.
vii. Investment in other assets may also increased .

viii. The Vijaya Bank is concentrating on Branch Expansion and which may
lead to employment generation.

ix. The Capital Adequacy of the Vijaya Bank is also increasing over the
period of time.

66
5.2 CONCLUSION

Asset Liability Management plays very important role in planning and managing the Assets
and Liabilities of Banks, against the risk exposed due to the changing environment in the
banking business. Banking regulators require a minimum capital adequacy, net worth and
capital deposit ratio. Thus, Banks today need to match their assets and liabilities and at the
same time balancing their objectives of profitability, liquidity and risk. This attempt was to
evaluate and matching asset and liability of the Vijaya Bank.

It is evident that bank performing satisfactorily in terms of credit, deposits and interest earn,
other income etc., This analysis showing increasing trend from one year to another year.

This study discloses the findings and recommendations which would be beneficial For the
expansion and improvement to the Bank.

5.3 SUGGESTIONS

 It is suggested that the Bank may increase the holders of current accounts to the public.
These funds can be used by the Bank and increase their income without any payment
of interest to the holder of the current account.

 Net income and assets total positively correlated they should maintain the same in the
future.

 The Bank must make their major transaction with money, there must be increased. It is
suggested that the Bank may reduce avoidable costs.

 Since the share capital is increasing . it is a good sign to the Bank and it should
maintain the same. It should try to attract the more investments from the public..

67
BIBLIOGRAPHY
REFERANCE

1. Reddy .Y.V (2002), “ Public sector Banks and the Governance Challenge- The
Indian Experience”,
2. Khurana.S.K.(2000), “Asset Liability Management”, skylark publicationas, New
Delhi.
3. Ramathilagam.G. and Preethi.S.(2005), “Efficiency of Indian Commercial Banks
in the Post Reform Period”, Business and Economic Fcts for you, pp36-40
4. Sharma, Kapil and Kulkarni.P.R.(2006), “Asset Liability Management Approach
in Indian Banks: A Review and Suggestions”, the Journal of Accounting and
Finance, vol xx, no.2, april to September, pp.314.
5. Rajwade,A.V. (2000), “Issues in Asset Liability Management-III : More on
Regulatory Frame work”, EPW, March2, pp832-833.
6. Patheja, Anju (1994), “ Finacial Management of Commercial Banks, south Asia
Publications, New Delhi.
7. Subramaniam, Ganti(1995), “ Asset Liability Management for Banks in a
deregulated Environment”, prajnan, vol.XXIII, no. 1, pp. 11-27
8. Kamath.M.V.(1996), “Asset Liability Management”, Canbank Quarterly Review,
October-March, vol.1, no 4 and vol, VII, No. 1, p.10
9. Reed, e.w.(1964), “Commercial Bank Management”, Hrper and Row
Publications, New York.
10. Grewal,T.S.(2002), “ Analysis of Financial Statement”, Sultan Chand Educational
Publishers.

BOOKS

 Management accounting - R N S PILLAI, BAGAVATHI

 Financial and management accounting – T.S. Reddy
 Principles and practices of management accounting – N P Shrinivasan
Websites

 Money control.com
 Vijayabank.com
 ACHARYA INSTITUTE OF TECHNOLOGY
DEPARTMENT OF MBA

PROJECT (17MBAPR407)-WEEKLY REPORT

ACHARYA

NAME OF THE STUDENT: PRAJWALAN M

INTERNAL GUIDE: Prof. Sandhya S
USN: lIAl 7MBA45
COMPANY NAME: Vijaya Bank, Nitte, Udupi

EXTERNAL INTERNAL
WEEK WORK UNDERTAKEN GUIDE GUIDE
SIGNATURE SIGNATURE
rd th
3 Jan 2019- 9 Industry Profile and Company
Jan 2019 Profile
th Preparation of Research
10 Jan 2019 -
th instrument for data
17 Jan 2019
collection
th
18 Jan 2019 -

25th Jan 201 SA:--- Data collection

th
26 Jan 2019 - Analysis and finalization
2nd Feb 2019 of report
rd th
3 Feb 2019 - 9
Feb
2019 Findings and Suggestions
th
10 Feb 2019-

16th Feb 2019 Conclusion and Final Report

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