FINANCIAL ANALYSIS OF SIDDHARTHA BANK LIMTED

BRANCH OFFICE, DADELDHURA

A project Work Report

By
Santosh Prasad Pant

T.U. Reg. No. 7-2-163-0011-2015

Symbol No. 701630002

Bhimdatta Multiple Campus Bagbazar, Dadeldhura

Submitted to:

Faculty of Management

Tribhuvan University Kathmandu

In partial fulfillment of the Requirements for the Degree of

BACHELOR OF BUSINESS STUDIES (BBS)

Dadeldhura

July, 2024

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 DECLARATION

I hereby declare that project work entitled " A case study on Financial Analysis of
Siddhartha Bank Limited branch office, Dadeldhura" Submitted to the faculty of
Management, Tribhuvan University, Kathmandu is an original piece of work prepared
under the supervision of Mr. Jagdish Dhami, faculty member, Bhimdatta Multiple
Campus, Dadeldhura, and is submitted in partial fulfillment of the requirement for the
award of 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.

……………………

Santosh Prasad Pant

Date: July, 2024

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 SUPERVISIOR'S RECOMMENDATION

The project work entitled " A Case Study On Financial Analysis of Siddhartha
Bank Limited branch office, Dadeldhura" Submitted by Santosh Prasad Pant of
Bhimdatta Multiple Campus, Dadeldhura is prepared under my supervision as per the
procedure and format requirement laid by the faculty of management, Tirbhuvan
University, as partial fulfillment of the requirements for the award of the degree of
Bachelor of Business Studies (BBS). I, therefore, recommend the project work report
for evaluation.

…………..…..

Jagadish Dhami

Bhimdatta Multiple Campus

Bagbazar, Dadeldhura

Date:- July, 2024

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 ENDORSEMENT

We hereby endorse the project work report entitled "A Case Study On Financial
Analysis of Siddhartha Bank limited branch office, Dadeldhura" Submitted by
Santosh Prasad Pant of Bhimdatta Multiple Campus Bagbazar, Dadeldhura in partial
fulfillment of the requirement for award of the Bachelor of Business Studies (BBS) for
external evaluation.

…………………
…………………

Mr. Jagadish Dhami Mr. Hikmat Bdr

Bist

Chairperson, Research Committee Campus Chief

Bhimdatta Multiple Campus Bhimdatta Multiple

Campus
Bagbazar, Dadeldhura Bagbazar, Dadeldhura
Date: July, 2024 Date: July, 2024

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 ABSTRACT

The student of BBS program of Tribhuban University (TU) must carry out a fieldwork
study of two weeks by visiting the organization for project. The result of the past year
shows those students are able to follow the requirement of faculty of management in
writing the report of their field work report. Student was found moderate in writing the
field work report. They lack the habit of reading related books; do not get appropriate,
effective and intensive orientation of equip themselves with research skill.

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 ACKNOWLEDGEMENTS

The purpose of preparing this project work report is it fulfill the requirement for
the degree of bachelor of business studies (BBS). It is carried out within the
conceptual framework of Financial Analysis of Siddhartha Bank Limited Branch
Office, Dadeldhura. The main objective of this study was to examine Financial
Analysis of Siddhartha Bank Limited, Branch office, Dadeldhura. I am extremely
grateful to all of them who has helped me guided me and supervised me to complete
this work.

I wish to extend my deep sense of indebted to my project work report supervisor,

Mr. Jagdish Dhami faculty member of Bhimdatta Multiple Campus, Dadeldhura,
who provided me valuable guidelines, insightful comments encouragement and
generous treatment to complete this project work report .

I would like to express my sincere and heartfelt appreciation to my parents. They

always inspired me to complete this journey of higher education and provided me
the logistic and financial support to prepare this project work report. I thank them
from the core of my heart Since whether I am today it's because of them.

Similarly, I Express my gratitude to staffs of Siddhartha Bank Limited branch office,

Dadeldhura for hearted support in providing required data and information . I am
thankful to teachers library staff, Administrative staffs of Bhimdatta Multiple
Campus for their kindly support and co-operation .

At last but not the least, I would like to thank all who helped me directly or indirectly
during the course of preparation of this project work report. I hope the possible errors
would be covered by the subsequent studies in this field in the future.

Thank You,

Date: July, 2024 Santosh Prasad Pant

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 TABLE OF CONTENTS

Page No.

Title page i

Declaration ii

Recommendation iii

Endorsement IV

Acknowledgements V

Table of contents VI

List of Tables Vii

List of figures viii

Abbreviations ix

CHAPTER-I INTRODUCTION

1.1 Background of Study 1

1.2 Origin of bank 1

1.3 Historical of banking in Nepal 2

1.4 Background of the organization 3

1.2 Statement of problem 5

1.3 Objective of the study 5

1.4 Significance of study 5

1.6 Limitations of the study 5

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1.7 Organization of the study 7

CHAPTER: II LITERATURE REVIEW

2.1 Introduction 8

2.2 Conceptual Framework 8

2.3 Major services of the bank 9

CHAPTER: III RESEARCH METHODOLOGY

3.1 Introduction 11

3.2 Research design 11

3.3 Population and Sample 12

3.4 Sources of data 12

3.4.1 Primary data 12

3.4.2 Secondary data 12

3.5 Instruments & techniques of analysis 13

CHAPTER: IV RESULT AND FINDINGS

4.1 Data presentation and analysis 14

4.3 Major findings 26

CHAPTER: V SUMMARY, CONCLUSION AND RECOMMENDATION

5.1 Summary 27

5.2 Conclusion 28

5.3 Recommendation 28

REFERENCES 31

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APPENDICES 31

List of Tables

Table No Page No.

Table No. 1: Return of assets 15

Table No. 2: Interest spread ratio 16

Table No. 3: Net operating cost ratio 17

Table No. 4: Loan to total assets ratio 18

Table No. 5: Cash to total assets ratio 19

Table N0. 6: Provision for credit losses to total assets ratio

20

Table No. 7: Provision for loan losses to total loan ratio 21

Table No. 8: Credit loss coverage ratio 22

Table No. 9: Loan to total deposit ratio 23

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x
 List of Charts

Chart No.
Page No.

Chart No. 1: Return of assets 15

Chart No. 2: Interest spread ratio 16

Chart No. 3: Net operating cost ratio 17

Chart No. 4: Loan to total assets ratio 18

Chart No. 5: Cash to total assets ratio 19

Chart No. 6: Provision for credit losses to total assets ratio

20

Chart No. 7: Provision for loan losses to total loan ratio 21

Chart No. 8: Credit loss coverage ratio 22

Chart No. 9: Loan to total deposit ratio 23

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 ABBREVIATIONS:

ATM : Automatic Teller Machine

Ltd. : Limited

ROA : Return on Assets

ISR : Interest spread Ratio

KBL : Siddhartha Bank Limited

NOCR : Net operating Cost Ratio

LTRC : Loan to Total Assets Ratio

% : Percentage

CTAR : Cash to Total Assets Ratio

CEO : Chief executive officer

EBT : Earning before tax

SWOT : Strength, weakness, opportunity, threats

LTDR : Loan to total deposit ratio

CLCR : Credit loss coverage ratio

PLLTLR : Provision for loan losses to total assets ratio

PCLTAR : Provision for Credit losses to total assets ratio

CTAR : Cash to total assets ratio

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