Ratio analysis on BANK ASIA LIMITED

BY

Sajjad Islam
ID: 182-11-5955
AND

Sazzad Bin Azad

ID: 182-11-5934

Course Name: Fundamentals of Banking

Course Code: BNK 201

Submitted To

Shah-Noor Rahman
Assistant Professor
Daffodil International University

DAFFODIL INTERNATIONAL UNIVERSITY

DHAKA, BANGLADESH
12 DECEMBER 2019
Table for calculations
Particular and NIAT Total Total Asset Interest Interest Noninterest Noninterest Total Total Operating
Year Equity Income Expense Income Expense Operating Expense
Revenue

2018 2233 23190 309228 23322 13011 4091 6072 4625 6076

2017 2112 20934 290946 19092 10855 4136 5668 4194 5671

2016 1644 18863 254866 18344 10610 3302 5111 3440 5113

2015 2550 18696 225666 18837 11199 2878 4727 4142 4729

For 2018
NET INCOME AFTER TAX(NIAT) = 2233

Return on equity = (NET INCOME AFTER TAX / TOTAL EQUITY)

= 2233/23190

= 9.6%

Return on asset = NET INCOME AFTER TAX / (TOTAL ASSET)

= 2233/309228

= 0.72%

Net Interest Margin

=(INTEREST INCOME

- INTEREST EXPENSE)/ TOTAL ASSET

= (23322-13011)/309228

= 3.3 %

NET NON INTEREST MARGIN = (NON INTEREST INCOME - NON INTEREST EXPENSE NIE)/ TOTAL ASSET
 = (4091-6072)/309228

= -0.6%

NET OPERATIMG MARGIN = (TOTAL OPERATING REVENUE -TOE)/ TOTAL ASSET

= (4625-6076)/ 309228

= - 0.4%

EARNINGS PER SHARE = NET INCOME AFTER TAX / NUMBER OF SHARE OUTSTANDING

= 2233/ 1166

= 1.9

NET PROFIT MARGIN = NET INCOME AFTER TAX / TOTAL OPERATING REVENUE

= 2233/4625

=48.2 %

ASSET UTILIZATION = TOTAL OPERATING REVENUE / TOTAL ASSET

= 4625/ 309228

=1.5 TIMES

EQUITY MULTIPLYER = TOTAL ASSET /TOTAL EQUITY

= 309228/23190

= 13.3 TIMES

For 2017
NET INCOME AFTER TAX(NIAT) = 2112

Return on equity = (NET INCOME AFTER TAX / TOTAL EQUITY)

= 2112/20934

= 10.08%

Return on asset = NET INCOME AFTER TAX / (TOTAL ASSET)

= 2112/290945

= 0.72%

Net Interest Margin

=(INTEREST INCOME

- INTEREST EXPENSE)/ TOTAL ASSET

 = (19092-10855)/290916

= 2.8 %

NET NON INTEREST MARGIN = (NON INTEREST INCOME - NON INTEREST EXPENSE NIE)/ TOTAL ASSET

= (4136- 5668)/290946

= -0.5%

NET OPERATIMG MARGIN = (TOTAL OPERATING REVENUE -TOE)/ TOTAL ASSET

= (4194-5671)/ 290946

= - 0.5%

EARNINGS PER SHARE = NET INCOME AFTER TAX / NUMBER OF SHARE OUTSTANDING

= 2112/ 1166

= 1.8

NET PROFIT MARGIN = NET INCOME AFTER TAX / TOTAL OPERATING REVENUE

= 2112/4194

=50.3 %

ASSET UTILIZATION = TOTAL OPERATING REVENUE / TOTAL ASSET

= 4194/290946

=1.44 TIMES

EQUITY MULTIPLYER = TOTAL ASSET /TOTAL EQUITY

= 290946/20934

= 13.8 TIMES

For 2016

NET INCOME AFTER TAX(NIAT) = 1644

Return on equity = (NET INCOME AFTER TAX / TOTAL EQUITY)

= 1644/18863

= 8.7%

Return on asset = NET INCOME AFTER TAX / (TOTAL ASSET)

 = 1644/ 254866

= 0.64%

Net Interest Margin

=(INTEREST INCOME

- INTEREST EXPENSE)/ TOTAL ASSET

= (18344-10610)/254866

= 3.03 %

NET NON INTEREST MARGIN = (NON INTEREST INCOME - NON INTEREST EXPENSE NIE)/ TOTAL ASSET

= (3302-5111)/254866

= -0.7%

NET OPERATIMG MARGIN = (TOTAL OPERATING REVENUE -TOE)/ TOTAL ASSET

= (3440-5143)/254866

= - 0.6%

EARNINGS PER SHARE = NET INCOME AFTER TAX / NUMBER OF SHARE OUTSTANDING

= 1644/ 1166

= 1.4

NET PROFIT MARGIN = NET INCOME AFTER TAX / TOTAL OPERATING REVENUE

= 1644/3440

=47.8 %

ASSET UTILIZATION = TOTAL OPERATING REVENUE / TOTAL ASSET

= 3440/ 254866

=1.3 TIMES

EQUITY MULTIPLYER = TOTAL ASSET /TOTAL EQUITY

= 254866/18863

= 13.5 TIMES

FOR 2015
NET INCOME AFTER TAX(NIAT) = 2550

Return on equity = (NET INCOME AFTER TAX / TOTAL EQUITY)

= 2550/18696

= 13.6%

Return on asset = NET INCOME AFTER TAX / (TOTAL ASSET)

= 2550/225666

= 1.1%

Net Interest Margin

=(INTEREST INCOME

- INTEREST EXPENSE)/ TOTAL ASSET

= (18837-11199)/225666

= 3.3 %

NET NON INTEREST MARGIN = (NON INTEREST INCOME - NON INTEREST EXPENSE NIE)/ TOTAL ASSET

= (2878-4727)/225666

= -0.8%

NET OPERATIMG MARGIN = (TOTAL OPERATING REVENUE -TOE)/ TOTAL ASSET

= (4142-4729)/ 225666

= - 0.2%

EARNINGS PER SHARE = NET INCOME AFTER TAX / NUMBER OF SHARE OUTSTANDING

= 2550/ 1166

= 2.19

NET PROFIT MARGIN = NET INCOME AFTER TAX / TOTAL OPERATING REVENUE

= 2550/4142

=61.5 %

ASSET UTILIZATION = TOTAL OPERATING REVENUE / TOTAL ASSET

= 4142/225666

=1.8 TIMES
EQUITY MULTIPLYER = TOTAL ASSET /TOTAL EQUITY

= 225666/18696

= 12.07 TIMES