DECLARATION

I hereby declare that the project work entitled COMPARATIVE STUDY OF FINANCIAL
PERFORMANCE OF COMMERCIAL BANKS (WITH REFERENCE TO HBL &
EBL) submitted to the faculty of management Tribhuvan university Kathmandu is an original
piece of work under the supervision of Mr. Deepak Khanal, faculty member, Bheemodaya
Multiple Campus, and is submitted in partial fulfillment of requirement for the degree of
Bachelor of Business Studies (BBS). This project work report has not been submitted to any
other university or institution for the award of any degree or diploma.

…………………………

Ganesh Kumal

Date:………………

i
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eLdf]bo ax'd'vL SofDk;
cf?3f6 ufpFkflnsf–(, cf?3f6, uf]/vf
u08sL k|b]z, g]kfn
lj=;+= @)^$
BHEEMODAYA MULTIPLE CAMPUS
Aarughat Rural Municipality-9, Aarughat, Gorkha
Gandaki Province, Nepal
2007 A.D.
kq ;+Vof M
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ljifo M Supervisor's Recommendation

The project work report entitled COMPARATIVE STUDY OF FINANCIAL

PERFORMANCE OF COMMERCIAL BANKS (WITH REFERENCE TO HBL &
EBL) of project work report submitted by Ganesh Kumal of Bheemodaya Multiple Campus,
Aarughat, Gorkha is prepared under my supervision as per the procedure and format
requirements laid by the faculty of Management, Tribhuvan University, as Partial fulfillment
of the requirements for the degree of Bachelor of Business Studies (BBS). I therefore
recommend the project work report for evaluation.

………………..

Mr. Deepak Khanal

(Supervisor)

ii
 lq=lj=af6 ;DaGwg k|fKt
eLdf]bo ax'd'vL SofDk;
cf?3f6 ufpFkflnsf–(, cf?3f6, uf]/vf
u08sL k|b]z, g]kfn
lj=;+= @)^$
BHEEMODAYA MULTIPLE CAMPUS
Aarughat Rural Municipality-9, Aarughat, Gorkha
Gandaki Province, Nepal
2007 A.D.
kq ;+Vof M
rnfgL g+= M ldlt M

ljifo M Endorsement

We hereby endorse the project work report entitled COMPARATIVE STUDY OF

FINANCIAL PERFORMANCE OF COMMERCIAL BANKS (WITH REFERENCE
TO HBL & EBL) submitted by Ganesh Kumal of Bheemodaya Multiple Campus, Aarughat
Gorkha in Partial fulfillment of the requirements for the degree of Bachelor of Business
Studies (BBS) for external evaluation.

…………………… ………………….

Mr. Ganesh Pokhrel Dr. Birendra Pudasainee

Chairman, Research Committee Campus Chief

Date……………….. Bheemodaya Multiple Campus

Date ………………

iii
 Acknowledgement

This fieldwork report has been entitled COMPARATIVE STUDY OF FINANCIAL

PERFORMANCE OF COMMERCIAL BANKS (WITH REFERENCE TO HBL &
EBL) has been prepared for the partial fulfillment of the requirement of Bachelor of
Business Studies (BBS) under Faculty of Management, Tribhuvan University .

I am very grateful to get on opportunity to work under the admirable supervisor Mr. research
head Mr. Ganesh Pokhrel, Campus Chief Dr. Birendra Pudasainee for the suggestion . I
would also like to thanks to all my teachers who helped in writing report and guided over the
time for the completion of my report I have also tried my best to present the various
information and details of this report.

All the staff of the bank, which provided me the valuable information of the company to
prepare this report, is heartily thanked. I am extremely thankful to Mr. Ganesh Pokhrel who
provided regular inspiration and helped in writing report. At last but not least I would like to
express my sincere thanks to all my friend and all of those who assist me kindly in designing
and computer formatting of this report correctly and timely.

…………….
Submitted By
Ganesh Kumal
Bheemodaya Multiple Campus

iv
 TABLE OF CONTENTS
Title pages

Declaration i

Supervisor's Recommendation ii

Endorsement iii

Acknowledgements iv

Table of contents v

List of Tables vi

List of figures vii

List of Abbreviations viii

CHAPTER I: INTRODUCTION
Background of the Study 1
Statement of the problem 5
Objective of the study 6
Rational of the study 6
Literature Review 7
Research Methodology 10
Limitation of the Study 17
CHAPTER II: RESULTS AND ANALYSIS
Data presentation 18
Major Finding 29
CHAPTER III: SUMMARY AND CONCLUSION
Summary 30
Conclusion 30
REFERENCES
APPENDICE

v
 LIST OF TABLES

Table No Title of Table Page No

1 Cash and Bank Balance to total Deposit Ratio 19

2 Current Ratio 20
3 Loan and Advance to Total Deposit Ratio 22
4 Loan and Advance to Fixed Deposit 23
5 Debt-Equity Ratios 24
6 Return on Net Worth 25
7 Return on Total Assets 26
8 Earnings per Share 28

vi
 LIST OF FIGURES

Figure No. Title of Figures Page No

1 Cash and Bank Balance to total Deposit Ratio 20

2 Current Ratio 21
3 Loan and Advance to Total Deposit Ratio 22
4 Debt-Equity Ratios 24
5 Return on Net Worth 26
6 Return on Total Assets 27
7 Earnings per Share 28

vii
 LIST OF ABBREVIATIONS

CR : Current Ratio

EBL : Everest Bank Ltd.

EPS : Earning per share

HBL : Himalayan bank limited

NPAT : Net Profit after Tax

NPM : Net Profit Margin

MPS : Market price per share

QR : Quick Ratio

ROA : Return on Assets

ROE : Return on equity

& : And

FY : Fiscal Year

viii