4TH PROJECT REPORT

8/7/2019 4TH PROJECT REPORT

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.

1895: PNB commenced its operations in

Lahora PNB has the distinction of being

the first Indian bank to have been started

solely with Indian capital that has survived

to the present. (The first entirely Indianbank, the Oudh Commercial Bank, was

established in 1881 in Faizabad but failed

in 1958.) PNB's founders included several

leaders of the swadrshi movement such as

dval singh and Lala HarKishen Lal,Lala

Lalchand, Shri Kali Prosanna Roy, Shri E.C.

Jessawala, Shri Prabhu Dayal, Bakshi Jaishi

Ram, and Lala Dholan Dass. Lala Laipat

Rai was actively associated with the

management of the Bank in its early

years.


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The main objective of my study is to focus

on customer satisfaction level of Punjab

National Bank Customer satisfaction, a

business term, is a measure of how

products and services supplied by acompany meet or surpass customer

expectation. It is seen as a key

performance indicator within a business.

In a competitive marketplace where

businesses compete for customers,

customer satisfaction is seen as a keydifferentiator and increasingly has

become a key element of business

strategy.


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Services of Punjab

National Bank

Punjab National Bank offers financial

solutions and services in an array of

sectors. All these services that are offered

keep pace with the changing market

trends in order to fulfill the needs and

preferences of the customers. Some ofthe well known sectors on which the main

functions of the bank are based are:

Personal Banking

Corporate BankingAgriculture finance services

Industrial finance services

Trade financial services

International banking services


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Key Financial Ratios of

Punjab National Bank------------------- in Rs. Cr. -------------------

M

ar '06M

ar '07M

ar '08M

ar '09M

ar '10

Investment Valuation Ratios

Face Value 10.00 10.00 10.00 10.00 10.00

Dividend Per Share 6.00 10.00 10.00 20.00 22.00

Operating Profit Per Share (Rs) 57.00 74.53 109.81 151.48 191.63

Net Operating Profit Per Share (Rs) 310.53 383.89 505.09 694.81 777.82

Free Reserves Per Share (Rs) 69.61 64.29 63.79 64.04 63.79

Bonus in Equity Capital -- -- -- -- --

Profitability Ratios

Interest Spread 3.94 4.40 4.18 4.18 4.46

Adjusted Cash Margin(%) 16.35 14.10 13.72 14.60 16.52

Net Profit Margin 14.50 12.53 12.68 13.76 15.64Return on Long Term Fund(%) 74.57 80.76 111.52 129.83 116.11

Return on Net Worth(%) 17.01 16.03 19.00 23.52 24.06

Adjusted Return on Net Worth(%) 15.83 15.17 18.99 23.50 24.04

Return on Assets Excluding

Revaluations0.99 321.65 341.98 416.74 514.77

Return on Assets IncludingRevaluations

0.99 330.97 390.68 464.75 562.09


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Management Efficiency Ratios

Interest Income / Total Funds 7.23 7.88 8.86 9.89 9.07

Net Interest Income / Total Funds 3.60 3.96 4.00 4.34 4.28

Non Interest Income / Total Funds 0.10 0.12 0.13 0.25 0.16

Interest Expended / Total Funds 3.63 3.92 4.86 5.55 4.79

Operating Expense / Total Funds 2.27 2.43 2.08 2.18 2.05

Profit Before Provisions / Total Funds 1.29 1.53 1.96 2.32 2.31

Net Profit / Total Funds 1.06 1.00 1.14 1.40 1.45

Loans Turnover 0.15 0.14 0.15 0.16 0.14

Total Income / Capital Employed(%) 7.33 8.00 8.99 10.14 9.24

Interest Expended / Capital

Employed(%)3.63 3.92 4.86 5.55 4.79

Total Assets Turnover Ratios 0.07 0.08 0.09 0.10 0.09

Asset Turnover Ratio 4.75 5.48 4.35 5.64 5.89

Profit And Loss Account Ratios

Interest Expended / Interest Earned 51.31 52.20 61.20 63.62 60.30

Other Income / Total Income 1.33 1.52 1.43 2.46 1.75

Operating Expense / Total Income 31.00 30.36 23.10 21.53 22.19

Selling Distribution Cost Composition 0.20 0.14 0.14 0.14 0.16

BalanceSheet RatiosCapital Adequacy Ratio 11.95 12.29 13.46 14.03 14.16


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Debt Coverage Ratios

Credit Deposit Ratio 60.60 65.97 70.55 72.88 74.34

Investment Deposit Ratio 41.16 33.23 32.38 31.20 30.74

Cash Deposit Ratio 14.74 13.78 9.02 8.59 7.71

Total Debt to Owners Fund 13.19 13.79 15.44 15.96 15.36

Financial Charges Coverage Ratio 1.39 1.42 1.42 1.43 1.50

Financial Charges Coverage Ratio

Post Tax1.33 1.29 1.25 1.27 1.32

Leverage Ratios

Current Ratio 0.03 0.03 0.02 0.02 0.02

Quick Ratio 10.69 11.10 9.40 9.75 20.47Cash Flow Indicator Ratios

Dividend Payout Ratio Net Profit 14.98 30.71 23.40 23.86 20.74

Dividend Payout Ratio Cash Profit 13.26 27.26 21.61 22.47 19.62

Earning Retention Ratio 84.99 69.28 76.59 76.12 79.25

Cash Earning Retention Ratio 86.72 72.73 78.38 77.51 80.37AdjustedCash Flow Times 73.73 80.65 75.05 63.95 60.43

Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

Earnings Per Share 45.65 48.84 64.98 98.03 123.86Book Value 287.79 321.65 341.98 416.74 514.77


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YES BANK, India's new age private sector Bank, is an outcome of

the professional entrepreneurship of its Founder, Rana Kapoor

and his highly competent top management team, to establish a

high quality, customer centric, service driven, private Indian

Bank catering to the "Future Businesses of India". YES BANK is

the only Greenfield license awarded by the RBI in the last 15years, associated with the finest pedigree investors. YES BANK

has fructified into a "full service" commercial Bank that has

steadily built Corporate and Institutional Banking, Financial

Markets, Investment Banking, Corporate Finance, Branch

Banking, Business and Transaction Banking, and Wealth

Management business lines across the country, and is well

equipped to offer a range of products and services to corporate

and retail customers.


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Activities:main feature that differentiates Yes Bank India in the

banking industry is their use of knowledge bankerswho are industry experts in various sectors of Indian

economy thereby helping their valued customers with

in-depth knowledge of these sectors. In general the

products and services offered by the Yes Bank are:Corporate and Institutional Banking

FinancialMarkets

Investment Banking

Business and Transactional BankingRetail Banking

Private Banking


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Investment Valuation Ratios

Face Value 10.00 10.00 10.00 10.00 10.00

Dividend Per Share -- -- -- -- 1.50Operating Profit Per Share (Rs) 3.38 4.82 9.43 16.37 21.69

Net Operating Profit Per Share

(Rs)10.51 26.31 53.78 81.62 84.68

Free Reserves Per Share (Rs) 10.70 16.66 31.18 36.47 69.33

Bonus in Equity Capital -- -- -- -- --

Profitability Ratios

Interest Spread 2.96 2.63 3.31 4.12 3.21

Adjusted Cash Margin(%) 21.04 13.48 13.16 13.59 17.35

Net Profit Margin 19.08 12.06 12.01 12.35 16.30

Return on Long Term Fund(%) 33.03 71.98 97.09 120.56 74.73

Return on Net Worth(%) 14.01 13.88 15.16 18.70 15.46

Adjusted Return on Net

Worth(%)9.66 11.99 15.16 18.71 15.48

Return on Assets Excluding

Revaluations1.33 28.11 44.59 54.69 90.96

Return on Assets Including

Revaluations 1.33 28.11 44.59 54.69 90.96Management Efficiency Ratios


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Interest Income / Total Funds 10.43 9.65 11.33 12.16 9.70

Net Interest Income / Total Funds 6.58 4.20 4.39 4.67 4.37

Non Interest Income / Total Funds 0.23 0.60 0.53 0.17 0.18

Interest Expended / Total Funds 3.85 5.45 6.94 7.48 5.34

Operating Expense / Total Funds 3.23 2.43 2.40 2.23 1.88

Profit Before Provisions / Total Funds 3.37 2.22 2.38 2.46 2.57

Net Profit / Total Funds 2.03 1.24 1.42 1.52 1.61

Loans Turnover 0.18 0.17 0.20 0.22 0.17

Total Income / Capital Employed(%) 10.66 10.25 11.86 12.33 9.89

Interest Expended / Capital

Employed(%)3.85 5.45 6.94 7.48 5.34

Total Assets Turnover Ratios 0.10 0.10 0.11 0.12 0.10

Asset Turnover Ratio 7.83 8.50 11.96 12.44 13.93

Profit And Loss Account Ratios

Interest Expended / Interest Earned 55.06 70.84 74.31 74.48 66.75

Other Income / Total Income 2.12 5.81 4.48 1.40 1.85

Operating Expense / Total Income 30.28 23.72 20.28 18.12 19.02

Selling Distribution Cost Composition 0.62 0.36 0.10 0.06 0.37

Balance Sheet Ratios


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Debt Coverage Ratios

Credit Deposit Ratio 88.66 78.13 73.14 74.16 80.52

Investment Deposit Ratio 48.83 39.74 38.00 41.47 40.33

Cash Deposit Ratio 3.62 4.29 6.28 7.60 7.62

Total Debt to Owners Fund 5.08 10.44 10.06 9.96 8.67

Financial Charges Coverage Ratio 1.93 1.43 1.36 1.35 1.50

Financial Charges Coverage Ratio

Post Tax1.58 1.25 1.23 1.22 1.32

Leverage Ratios

Current Ratio 0.05 0.04 0.05 0.07 0.04

Quick Ratio 12.34 5.74 7.92 5.14 14.54Cash Flow Indicator Ratios

Dividend Payout Ratio Net Profit -- -- -- -- 12.47

Dividend Payout Ratio Cash Profit -- -- -- -- 11.73

Earning Retention Ratio 100.00 100.00 100.00 100.00 87.54

Cash Earning Retention Ratio 100.00 100.00 100.00 100.00 88.28

AdjustedCash Flow Times 47.70 77.96 60.54 48.40 52.69

Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

Earnings Per Share 2.05 3.37 6.76 10.23 14.06


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4TH PROJECT REPORT