You are on page 1of 4

10.

Advances / Deposits Ratio


i. Ratio Formula:

Advances x 100
Deposits

ii. Calculation:






iii. Interpretation of Ratio:
As ratio is going higher and higher as compare to previous years which explains that. The
advances to deposits ratio in its operation in Year 2012 and Year 2013 was slow; however
it is double in Year 2012.

11. Operating Cash Flow Ratio



i. Ratio Formula:

Operating Cash Flow
(Current Maturities of Long term debts+ Notes Payable)
ii. Calculation:



Year 2013

Year 2012

268530/ 371284
= 72.32%


249887/ 328875
= 75.98%

Year 2013

Year 2012
36199585/ 22565
= 54.70%


10811077/ 18700
= 56.34%

iii. Interpretation of Ratio:

This ratio indicates the percentage of net profit to the Mark-up earned and
expensed and the Banks overall profitability. The above graph shows that in the
year 2012 the net profit in relation to the Interest earned is highly increased
due to an unusual increase in the other income. On the other hand, the net profit in
the year 2013 has been decreased as compare to the year 2012.

12. Dividend per Share


i. Ratio Formula:

Dividend Paid
Number of bonus shares in issue

ii. Calculation:







iii. Interpretation of Ratio:

This ratio indicates the percentage of earning per share is much low in 2012 while
on the other hand bit increased in 2013 and remained excellent at end.

13. Earnings -per Share


v. Ratio Formula:

Net Income - Dividends on
Preferred Stock Average
Outstanding Shares


Year 2013

Year 2012
2979352/ 3577722
= 0.83 times


2073173/ 2866721
= 0.72 times

ii. Calculation:







iii. Interpretation of Ratio:
This ratio indicates the percentage of earning per share is much low in 2012 while
on the other hand bit increased in 2013 and remained excellent at the end.

14. Price / Earnings per Share

ix. Ratio Formula:

Market value per Share
EPS
ii. Calculation:






iii. Interpretation of Ratio:
This ratio indicates the percentage of price to earnings per share is much low in 2013
while on the other hand bit increased in 2012 and remained excellent at the end.

Year 2013

Year 2012
2979352/ 3577722
= 0.83 times


2073173/ 2866721
= 0.72 times

Year 2013

Year 2012
2 / 0.83
= 0.19 times


2 / 0.72
= 0.22 times

You might also like