Banking Ratio Analysis United Bank, National bank of Pakistan, and Bank Alfalah for the years 2019, 2020 and 2021

The current analysis has been conducted to explore the financial position of three banks named UBL, NBP, and Bank Alfalah. Ratio analysis is a mostly used financial analysis method that shows the financial position or financial performance of the organization. A mathematical technique is also known, which can be used to evaluate and compare the financial situation/conditions and the overall performance of financial institutions such as banks and insurance companies. With the help of the analysis of the financial report, we can compare the position of the banks on the market. With the help of the analysis of the reasons, the reality of the financial position is observed and would be more advantageous for investors, creditors, and other interested parties.

The major aim of the study was to calculate the financial ratios such as net profit margin, Gross spread, Operating cash flow, spread ratio, debt ratio, price to earnings ratio, etc. The study has achieved its objective successfully.
In this study, the first part is consisted of the Introduction section, here the study has given all the basic detail about banks and their functions and the study has also described some objectives and significance of the research in the first part. In the second part, the study has described its methodology for data collection, sample size, sources for data collection, data interpretation, and analysis. Here you can see, the study has mentioned that only secondary data has been collected to achieve the objectives of the research. Here, the study has also mentioned that collected data was further proceeded and analyzed using Microsoft Excel version 2016.
In chapter 3, here the study has done a ratio analysis of each bank, here you can see, the study has calculated almost 9 ratios for analysis. The study has displayed each ratio result in tabulation form, each table is holding three bank findings and represents the data with graphically form as well. Under each table, there is some interpretation of each figure as well, here you can see, there are variations in the result of each bank, In some ratios, Bank Alfalah is gaining the position due to good ratio, but in few ratios, UBL and NBP is getting top position over other. Therefore, each ratio represents that there are variations in the result of ratios. According to findings, Net profit marge ratio of Bank Alfalh is good as compared to others, and UBL comes thereafter. Similarly, in the cash flow ratio, the NBP ratio is good as compared to Bank Alfalah and UBL.

FIN619 Final Project on Banking Ratio Analysis 2022

financial ratio analysis is the procedure of calculating financial guides, which are mathematical indicators calculated by comparing the key financial information that seems in the financial statements of a company and analyzing them to discover the reasons behind the company’s current financial situation. On the other hand financial ratio helps the company or bank to identify the financial performance or position and help to develop future financial strategies. Therefore, financial ratio analysis assist to  dig out  the financial position of any company or bank after reviewing financial documents such as Balance sheet, income statement, profit and loss, etc

About Mian

Qualification:- M.Phil ((Business Administration)
Research Experience:- Experiences include data collection in qualitative research and quantitative research, data analysis at SPSS and excel sheet,report writing and presentation of findings.

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