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Liquidity Ratio

It is the relationship between the current assets and current liabilities of a concern.

Current Ratio = Current Assets/Current Liabilities

Year 2005 2006 2007 2008


Current assets 6812761 10212269 9373577 7108685
Current liabilities 3242446 4848440 3607766 5065513
Current Ratio 2.1 2.10 2.59 1.4

Liquidity Current Ratio

3
2.59
2 2.1 2.1
1.4
1
0
1 2 3 4
2005 2006 2007 2008
Solvency Ratio

Debt equity Ratio = Debt liabilities/ Net assets

Year 2005 2006 2007 2008


Debt liabilities 24408794 36826824 57864137 74325579
Net assets 6812761 10212269 5706656 5974978
Debt equity Ratio 3.58 3.60 10.13 12.4

Debt Equity Ratio

20

10

0
1 2 3 4
Series1 3.58 3.6 10.13 12.4
2005 2006 2007 2008
Profitability ratio

Year 2005 2006 2007 2008


Net Profit margin 18.5 17.80 16.27 8.27
Gross profit margin 43.83 45.86 46.39 54.61
Return on capital .018 0.0020 .0022 .0024
employed

Profitability ratio

0.02

0.01

0
1 2 3 4
Series1 0.018 0.002 0.0022 0.0024
2005 2006 2007 2008

Return on capital employed =(PBIT / Capital employed)*100

PBIT = Core banking income before provision

Capital Employed = Equity + Long term liabilities

2008 6341 + 11025091 = 11031432


2007 5720 + 57864137 = 57869857
2006 4763 + 36826824 = 36831587
2005 3821 + 24408794 = 24412615
Investment Ratio

Year 2005 2006 2007 2008


Earning Per Share 1.16 1.88 1.96 1.26
Price Earning Ratio 15.92 10.51 15.2 17.03
Dividend Per Share 16 10 20 8.6

Earning Per Share

0
1 2 3 4
Series1 1.16 1.88 1.96 1.26
2005 2006 2007 2008

In 2007 the per share earning is good but it decreases in 2008 1.96 to 1.26 so the
management has to give attention here.
Price Earning Ratio

20
15.92 15.2 17.03
10 10.51

0
1 2 3 4
Series1 15.92 10.51 15.2 17.03
2005 2006 2007 2008

Here the management has recovered their position and improved.

Dividend Per Share

25
20 20
15 16
10 10 8.6
5
0
1 2 3 4
2005 2006 2007 2008

The dividend has decreased 20 to 8.6 R.s. This is very bad for company’s good will or
stock market. Management has to focus over it other wise the company has to bear more
loss in future.
Capital Adequacy Ratio (Capital to Risk (Weighted) Assets
Ratio)

Year 2005 2006 2007 2008


Average Ratio 1.67 1.57 1.70 .82
Average Equity 16.70 15.64 10.30 18.39

Average Ratio

2
1.67 1.57 1.7
1.5
1
0.82
0.5
0
1 2 3 4
2005 2006 2007 2008

Average Equity

20 18.39
16.7 15.64
15
10 10.3
5
0
1 2 3 4
2005 2006 2007 208