A

SUMMER INTERNSHIP REPORT

On
RAJKOT NAGARIK SAHAKARI BANK LTD
MULTISTATE SCHEDULED BANK
FINANCIAL STATEMENT ANALYSIS
Submitted To
Geetanjali Institute of Management Studies
Institute Code: 766
Under The Guidance Of
Prof. Divyang Tiwari
(Assistant professor)
In Partial Fulfillment of Requirement of
The Award of the Degree of
Master of Business Administration (M.B.A.)
Offered By
Gujarat Technological University
Ahmadabad
Prepared By:
KACHA HETAL ROHITBHAI
M.B.A. (Semester-II/III)
Enrollment no.: 137660592029
Academic year
2013-15
Nagarik Bank Was Established On 5
th
October
1953 With A Small Capital Of Rs. 4890 And
Membership Of 59 Persons.
Bank celebrating 50
th
anniversary on 2003 year.
Bank is enjoying the SCHEDULE BANK status
since 1989.
In 2001 bank was registered UNDER MULTI-
STATE CO-OPERATIVE SOCIATY ACT.
Name of the Bank Rajkot Nagarik Sahakari bank
Year of establishment 5
th
October 1953
Form of organization Multistate Schedule Bank
Branches 32 branches
Accounting Year 1
st
April to 31
st
March
MISSION
Fully Computerization
Fast Advances
More Co-operative
More service Availability
To increase the use of new
technology
Satisfy the customer needs and
wants
To cope up with the competition
VISION
'0' Non Performing Assets.
Branch opening at every state
of India.
Online internet connection
with every branch.
Achieve the level of corporate
governance.
Fully ISO certified bank.
Deposits 100% Recovery
Loans
Term Loans
Education loans
Secured loans
Personal Loans
Vehicle Loans
Home Loans
RUDA (Rajkot Urban
development authority )loans
Computer loan
Industrial loan
Equipment or machinery loan
Gold loan
Bank Guarantee
Deposits:
Current Deposits
Saving Deposits
Term Deposits
Recurring Deposits
Other services
Locker System
ATM facility
SMS facility
The RNSB getting best social project award in 2012
"SOCIAL BANKING NATIONAL AWARD"
"BANKING FRONTIER" a leading financial magazine
conferred two awards for "INCOME RATIO" and
"DEPOSIT RATIO".
Main service
Transfer
Clearing
Cash
Loan
Fixed deposits
Other services
Locker facility
Demand draft
Depository service Demat
RTGS(Real time gross
settlement )
NEFT ( National electronic
fund transfer)
OBC( Out ward bill of
collection)
ABB(Any branch banking)
I use the secondary data collection for the research.
Financial statement analysis it has various tools as
follows:
1. Comparative statement
2. Common sized statement
3. Tread analysis
4. Ratio analysis
To know over how the bank is working.
The objective of the study is to analysis of the financial
data by which we known about the position of the bank
in compare to past year.
Financial planning, financial control, & financial analysis
is getting by the research.
Formation of an appropriate capital structure.
Assets-liability management
LITERATURE REVIEW
Bollen (1999)
Conducted a study on Ratio Variables on which he found three different
uses of ratio variables in aggregate data analysis: (1) as measures of
theoretical concepts, (2) as a means to control an extraneous factor, and
(3) as a correction for heteroscedasticity. In the use of ratios as indices
of concepts, a problem can arise if it is regressed on other indices or
variables that contain a common component. For example, the
relationship between two per capita measures may be confounded with
the common population component in each variable. Regarding the
second use of ratios, only under exceptional conditions will ratio
variables be a suitable means of controlling an extraneous factor.
Finally, the use of ratios to correct for heteroscedasticity is also often
misused.
Only under special conditions will the common
formforgerssoonwithratiovariables correct for heteroscedasticity. Alterna
tives to ratios for each of these cases are discussed and evaluated.
Sergio(1996) from Italy:
In a study of non-performing loans in Italy found
evidence that, an increase in the riskiness of loan
assets is rooted in a bank's leading policy
adducing to relatively unselective and inadequate
assessment of spectral prospects.
In the governmental accounting area, Miller and
Van Daniker (1999) conducted a survey to
uncover the changes that have been taken place
in government accounting education during the
past five years and those that will likely occur
during the next five years.
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
16.00%
18.00%
2008-09
2009-10
2010-11
2011-12
2012-13
N
E
T

P
R
O
F
I
T

R
A
T
I
O
2008-09 2009-10 2010-11 2011-12 2012-13
Ratio 13.44% 12.62% 16.91% 14.71% 12.94%
NET PROFIT RATIO
0
0.5
1
1.5
2
2.5
3
2008-09
2009-10
2010-11
2011-12
2012-13
L
I
Q
U
I
D

R
A
T
I
O
2008-09 2009-10 2010-11 2011-12 2012-13
RATIO 2.17 1.89 1.75 2.04 2.57
LIQUID RATIO
2008-09 2009-10 2010-11 2011-12 2012-13
RATIO 0.66 0.45 0.47 0.51 0.55
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
C
A
S
H

R
A
T
I
O
CASH RATIO
0
10
20
30
40
50
60
70
2008-09
2009-10
2010-11
2011-12
2012-13
E
A
R
N
I
N
G

P
E
R

S
H
A
R
E

2008-09 2009-10 2010-11 2011-12 2012-13
RATIO 47.26 35.36 48.32 51.54 66.15
EPS
2008-09 2009-10 2010-11 2011-12 2012-13
Ratio 66.61% 67.98% 70.25% 70.05% 65.29%
62.00%
63.00%
64.00%
65.00%
66.00%
67.00%
68.00%
69.00%
70.00%
71.00%
C
A
S
H

C
R
E
D
I
T

D
E
P
O
S
I
T

R
A
T
I
O
CASH CREDIT DEPOSIT RATIO
Ratio
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
120.00%
2008-09
2009-10
2010-11
2011-12
2012-13
R
E
T
U
R
N

O
N

E
Q
U
I
T
Y

C
A
P
I
T
A
L

R
A
T
I
O
2008-09 2009-10 2010-11 2011-12 2012-13
Ratio 66.65% 60.94% 85.03% 113.49% 94.15%
Ratio
In the FY 2008-2009 showing as an increase
tendency in liquid ratio. Again in the FY 2012-2013
also showing increase the tendency in the ration its
shows the positive effect.
Cash ratios are decreasing in 2
nd
& 3
rd
years and
growing up next coming two FY 2011-12 & 2012-13.
Banks liquidity is not good. Because, the cash ratio in
FY 2008-09 is more compare to FY 2012-13.
Financial efficiency of the bank is very excellent.
Because the bank have less or no NPA so, its
indicates positively. It is shows in balance sheet.
FY 2008-09 the credit deposit ratio is 66.61% it
is increase in 3 year after that it is decrease it is
show the negative tendency.
Return on equity capital ratio is increase in first 4
year and the last year it is decrease.
Net profit is also decrease in last year it is
negative tendency of the bank.
I would like to conclude that RNSB is having a good
reputation. I have good experience during my
training period.
I was having a detail study of all departments in the
bank. I can say that under the guidance of very
experienced managers, today this bank is one of
the most & leading bank in Rajkot city.
The bank efficiency & smooth going personnel
department & financial position it is maintaining
good relationship with the
industries, debtors, creditors and
employee, officers & other.
Thus effective management of bank has very much
performance us. The overall performance of RNSB
is really good & sound position in market. I wish
the bank a delight & bright future.
Sr.no. Name Of Book Author
1. Marketing Management Philip Kotler
2. Human Resources Management Gargy Dessler & Biju Varkkery
3. Financial Management I MPandey
4. Cost & Management Accounting Ravi Kishore
Sr.no.
1. Annual report
year
2009-2010
2. Annual report 2010-2011
3. Annual report 2011-2012
4. Annual report 2012-2013
Thank you