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Financial Ratio Analysis Of Standard Chartered
Bank, Bank Al Falah and JS Bank

Main Bank: Standard Chartered Bank

Standard Chartered
Bank Al Falah JS Bank
Bank

Current Ratio is 27.62


The current ratio of SCB
Financial Ratio
LIQUIDITY RATIOS
Current Ratio is 32.34
Ratio is greater than
Current Ratio is 46.10
Its current ratio is high.
is less than both the
banks. It is because of
very less current assets
Analysis Of
SCB but less than JS. It
is good sign of good
financial position. The
But overall its financial
position is not good than
BAF and SCB. JS is good
among our portfolio
banks and SCB could be
good for Long Term
Standard bank is better than JS
in Short Term and
better than SCB in
for short term but bad for
long term.

Chartered Bank,
Investments. Long Term.
Current Ratio

Bank Al Falah SCB JS Bank

Bank Al Falah and


50

40
Bank Al Falah,
32.34
JS Bank, 46.1
Current Ratio

JS Bank
SCB, 27.62
30

20

10

0For The Period 30 September 2009


1
Banks

DEBT RATIOS
Submitted To
Debt To Equity Ratio is Ms. Munazza
Debt To Equity Ratio is Debt To Equity Ratio is
5.97% 16.01% 3.6%
Debt To Equity Ratio of This ratio is very high
SCB is low than BAF but
higher than JS. Date
among banks we have The liabilities and equity
chosen. Because it has is less than the SCB
Submitted By:and
Lower Naveed
Khawaja liabilities and
equity than other
December 14, 2009
HaiderBAF. It073605-085
could be because
of new entrance in the
Syed
banks.Hassan Askari market.
073605-098
Raja Qasim Jamil 073605-
086
Total Debt Ratio Is 86% Total Debt Ratio Is Total Debt Ratio Is 77%
Banking is all about 93% It is all because of new
finances whether in form As described above entry in the market and
debts or credits. 86% that bank has more don’t have much assets
assets are financed by liabilities and equity and debts as compared
Debts. and as well as assets. to BAF and SCB. 77%
93% Assets are assets are finance by
financed by Debt. Debt.
Total Debt Ratio

SCB Bank Al Falah JS Bank


Bank Al Falah,
100% 93%
SCB, 86%
JS Bank, 77%
80%
Debt Percentage

60%

40%

20%

0%
1
Banks

PROFITABLITY RATIOS
EPS Ratio Is 0.003 EPS Ratio Is 1.16 EPS Ratio Is –0.57
Though EPS is low than Even the issued JS bank is showing loss in
BAF, but one more thing capital is low than JS the net profit/loss.
is that the issued capital and SCB but still it has
is very high. high EPS because of
its high net profit that
shows good financial
position.

ROA Is 0.04% ROA Is 0.13% ROA Is -1.16%


There is a great As compared to SCB, JS bank is suffering loss
difference in Net Profit BAF has high net profit due to heavy interest
ratio between SCB and compared with assets expense that the bank
BAF. But slight difference to SCB’s net profit has to pay as compared
in Total Assets. with assets. It is better to both the banks.
It is better than JS but than both the banks.
worst than BAF.
ROE Is 0.30% ROE Is 4.48% ROE Is -5.40%
It is because of Common Common stock equity Common stock equity is
Stock Equity. SCB has is about 3 times less low and bank is also
about 3 times more than SCB and net facing losses in its
Common Stock Equity profit as compared to operations due to heavy
than BAF. The ratio with equity is the reason expenses.
net income is low. for high ROE.

MARKET RATIO
Price Earning Ratio Is 23 Price Earning Ratio Is Price Earning Ratio Is 9.5
Investors are willing to 40 Investors are willing to
pay 23 rupees when EPS Investors are willing to pay 9 rupees because it’s
is increases by one pay 40 rupees which EPS is not good and will
rupee. is very high as it is take time.
growing.
Market/Book Value Is Market/Book Value Is Market/Book Value Is 0.4
0.91 8.1 JS’s market value is very
Book value is 10 that can The book value is very low that is about 5
be said like normal. But it low that is 1 and it rupees
is negative here due to shows the good
slight decrease in market financial position.
value.
Over All Analysis Graph

DuPont Analysis

2.5 ROE 2.23


2
1.5
1
Values

ROA
0.5 ROE 0.28 ROA 0.13 ROE 0.18
ROA 0.04 ROE
0
-0.5 Standard Bank Alfalah JS Bank
Chartered
-1
-1.5 ROA -1.16
Banks

Bank Al Falah is Better Than Standard Chartered Bank and JS Bank in


September 30, 2009.