A Comperative Study of Financial Statement Analysis of State Bank of India and Axis Bank

PROJECT WORK
Project Title: A COMPARATIVE STUDY OF FINANCIAL STATEMENT ANALYSIS OF STATE BANK

OF INDIA AND AXIS BANK.
A project submitted in partial fulfilment ofthe

requirements for the
Degree of
B. Com (Hons.) 2018-2021
By
SOURAV MANDAL
College Roll No. BCFIN18304
Registration No. KU1838459
University Roll No.191605472215
Under the Supervision of

Dr. /Prof. Dr. G. Vijayalakshmi
Faculty of Commerce
Karim City College, Jamshedpur-831001
KARIM CITY COLLEGE
Faculty of Commerce, Jamshedpur
CERTIFICATE OF APPROVAL
This Project entitled "A COMPARATIVE STUDY OF FINANCIAL STATEMENT

ANALYSIS OF STATE BANK OF INDIA AND AXIS BANK "
is hereby approved as a creditable commerce study

carried out and presented in a satisfactory manner to
narrate its acceptance as prerequisite to the Degree for
Bachelor of Commerce (B.Com. Hons.) Which is being
submitted.
PROJECT SUPERVISOR EXTERNAL EXAMINER

ACKNOWLEDGEMENT
Working on this project entitled "A COMPARATIVE STUDY OF FINANCIAL STATEMENT ANALYSIS OF STATE
BANK OF INDIA AND AXIS BANK "
was a source of immense knowledge to me. I would like to expressmy sincere gratitude to my
project supervisor Dr. G. Vijayalakshmi,
for his guidance and valuable support, inspiring discussions andconstant supervision throughout
the course of this work.
I am also thankful to my Honourable Principal Dr. Mohammad Riyaz for his inspiration. I am also
thankful to our H.O.D. Dr. Aftab Alam Ansari for his help during my project work.
I acknowledge with a deep sense of gratitude, the encouragement and interpretations received from
our faculty members and colleagues. I would also like to thank my parents for their love and support.
Name: SOURAV MANDAL

College Roll No. BCFIN18304
Registration No. KU1838459
University Roll No.191605472215

CONTENTS
TABLE OF CONTENT
List Of Table (i)

List of Graphs (ii)
CHAPTER 1: PAGE NO
1.i Introduction of Banking……………………………………………... 8
1.ii History of Banking in India……………………………………….….8
1.iii Banks in India……………………………………………………….11
1.iv Indian Banking Industry …………………………………………….12
1.v Objective of Study …………………………………………………...12
1.vi Limitation of Study …………………………………………….……13
1vii Data Collection ………………………………………………...…….13
CHAPTER 2.
Review of Literature……………………………………………………….15
CHAPTER 3.
3.i State Bank of India………………………………………………………18
3.ii History of State Bank of India…………………….…………………….21
3.iii Milestone of State Bank of India…………………….…………………24
3.iv Balance Sheet of State Bank of India……………...…...……………….26
3.v Profit and Loss Account of State Bank of India…………………………27
3.vi Sustainable Earning of State Bank of India………………….………….28
3.vii Axis Bank……………………………………………….………………31
3.viii Operation and Service …………………………………………………32
3.ix Awards ………………………………………..…...……………………33
3.x Subsidiaries………………………………………………………………34
3.xi History of Axis Bank…………………………………...……………….35
3.xii Balance Sheet of Axis Bank ………………………..………………….36
3.xiii Profit and Loss of Axis Bank…………………………..……………...38
3.xiv Ratio Analysis of Axis Bank…………………………………………...39
3.xv Investment Valuation Ratio……………………………………………42
CHAPTER 4.
4 Data Analysis……………………………………………………………...43
CHAPTER 5.
5.i Summary…………………………………………………………………58
5.ii Suggestion………………………………………………..……………...59
5.iiiConclusion…………………………………..……….………………….60
CHAPTER 6.
6 References………………………………………………………………….61
(i) LIST OF TABLES
SL.NO NAME OF THE TITLE Page

NO
3 Company Profile of SBI 18-
19
3.1 Balance Sheet of SBI 25
3.2 Profit and Loss of SBI 26
3.3 Sustainable Earnings of SBI 27
3.4 CRAR% of SBI 28
3.5 Axis Bank Profile 31
3.6 Balance Sheet of Axis Bank 35
3.7 Profit and Loss of Axis Bank 37
3.8 Ratio Analysis of Axis Bank 38
3.9 Investment Valuation Ratio 41
4.0 Net profit ratio 43
4.1 Operating Profit Ratio 43
4.2 Return on Shareholder’s 44
Investment or Net Worth Ratio
4.3 Earnings Per Share 45
4.4 Total Assets Turnover Ratio 45
4.5 Dividend Pay-Out Ratio 46
4.6 Debt-Equity Ratio 47
4.7 Interest expended to Interest Earned 47
Ratio
4.8 Result 48
4.9 Consolidated Values of Mean and 48-
Standard Deviation of SBI for 49
2018-2019
4.10 Consolidated Values of Mean and 49-
Standard Deviation of Axis Bank 50
for 2018-2019
4.11 HYPOTHESIS TESTING 51
4.12 Current Valuation of Axis bank and 52-
SBI 58
(ii) LIST OF GRAPHS
SL.NO NAME OF THE TITLE Page

NO
3.a CRAR% of SBI 28
3.b Total Deposits, Total Advances 39
and Retail Advances Of Axis
Bank from 2013-14 to 2017-18
3.c CASA, SB Deposits and CA 39
Deposits of AXIS Bank from
2013-14 to 2017-18
3.d Operating Revenue, OP and NP 40
of AXIS Bank from 2013-14 to
2017-18
3.e Book Value per share, DPS and 40
Gross NPA of AXIS Bank from
2013-14 to 2017-18
3.f Financial Performance Indicators 40
of AXIS Bank
4.a Risk and Return of SBI 2018 48
4.b Risk and return of SBI 2019 49
4.c Risk and Return of AXIS Bank 50
2018
4.d Risk and Return of AXIS Bank 51
2019
INTRODUCTION OF BANKING
DEFINITION OF BANK
Banking Means "Accepting Deposits for the purpose of lending or Investment of deposits of money from the
public, repayable on demand or otherwise and withdraw by cheque, draft or otherwise."
- Banking Companies (Regulation) Act,1949
ORIGIN OF THE WORD “BANK”: -

The origin of the word bank is shrouded in mystery. According to one view point the Italian business house
carrying on crude from of banking were called banchi bancheri" According to another viewpoint banking is
derived from German word "Branck" which mean heap or mound. In England, the issue of paper money by the
government was referred to as a raising a bank.
ORIGIN OF BANKING:
Its origin in the simplest form can be traced to the origin of authentic history. After recognizing the benefit of
money as a medium of exchange, the importance of banking was developed as it provides the safer place to
store the money. This safe place ultimately evolved in to financial institutions that accepts deposits and make
loans i.e., modern commercial banks.
Banking system in India

Without a sound and effective banking system in India it cannot have a healthy economy. The banking system
of India should not only be hassle free but it should be able to meet new challenges posed by the technology
and any other external and internal factors.
For the past three decades India's banking system has several outstanding achievements to its credit. The most
striking is its extensive reach. It is no longer confined to only metropolitans or cosmopolitans in India. In fact,
Indian banking system has reached even to the remote corners of the country. This is one of the main reasons
of India's growth process.
➢ HISTORY OF BANKING IN INDIA
Banking in India has its origin as early or Vedic period. It is believed that the transitions from many lending to
banking must have occurred even before Manu, the great Hindu furriest, who has devoted a section of his work
to deposit and advances and laid down rules relating to the rate of interest. During the mogul period, the
indigenous banker played a very important role in lending money and financing foreign trade and commerce.
During the days of the East India Company it was the turn of agency house to carry on the banking business.
The General Bank of India was the first joint stock bank to be established in the year 1786. The other which
followed was the Bank of Hindustan and Bengal Bank. The Bank of Hindustan is reported to have continued till
1906. While other two failed in the meantime. In the first half of the 19th century the East India Company
established their banks, The bank of Bengal in 1809, the Bank of Bombay in 1840 and the Bank of Bombay
in1843. These three banks also known as the Presidency banks were the independent units and functioned well.
These three banks were amalgamated in 1920 and new bank, the Imperial Bank of India was established on
27th January, 1921.
With the passing of the State Bank of India Act in 1955 the undertaking of the Imperial Bank of India was taken
over by the newly constituted SBI. The Reserve Bank of India (RBI) which is the Central bank was established in
April, 1935 by passing Reserve bank of India act 1935. The Central office of RBI is in Mumbai and it controls all
the other banks in the country.
In the wake of Swadeshi Movement, number of banks with the Indian management were established in the
country namely, Punjab National Bank Ltd., Bank of India Ltd., Bank of Baroda Ltd., Canara Bank. Ltd. on 19 th
July 1969, 14 major banks of the country were nationalized and on 15th April 1980, 6 more commercial private
sector banks were taken over by the government.
The first bank in India, though conservative, was established in 1786. From 1786 till today, the journey of Indian
Banking System can be segregated into three distinct phases. They areas mentioned below:
❖ Early phase from 1786 to 1969 of Indian Banks
❖ Nationalization of Indian Banks and up to 1991 prior to Indian banking sector Reforms.
❖ New phase of Indian Banking System with the advent of Indian Financial & Banking Sector Reforms after
1991.
➢ Phase I
The General Bank of India was set up in the year 1786. Next came Bank of Hindustan and Bengal Bank. The East
India Company established Bank of Bengal (1809), Bank of Bombay (1840) and Bank of Madras (1843) as
independent units and called it Presidency Banks.
These three banks were amalgamated in 1920 and Imperial Bank of India was established which started as
private shareholders banks, mostly European’s shareholders.
In 1865 Allahabad Bank was established and first time exclusively by Indians, Punjab National Bank Ltd. was set
up in 1894 with headquarters at Lahore. Between 1906 and 1913, Bank of India, Central Bank of India, Bank of
Baroda, Canara Bank, Indian Bank, and Bank of Mysore were set up. Reserve Bank of India came in 1935.
During the first phase the growth was very slow and banks also experienced periodic failures between 1913 and
1948. There were approximately 1100 banks, mostly small. To streamline the functioning and activities of
commercial banks, the Government of India came up with The Banking Companies Act, 1949 which was later
changed to Banking Regulation Act 1949 as per amending Act of 1965 (Act No. 23 of 1965). Reserve Bank of
India was vested with extensive powers for the supervision of banking in India as the Central Banking Authority.
During those day’s public has lesser confidence in the banks. As an aftermath deposit mobilization was slow.
Abreast of it the savings bank facility provided by the Postal department was comparatively safer. Moreover,
funds were largely given to traders.
Phase II
Government took major steps in this Indian Banking Sector Reform after independence. In1955, it nationalized
Imperial Bank of India with extensive banking facilities on a large scale especially in rural and semi-urban areas.
It formed State Bank of India to act as the principal agent of RBI and to handle banking transactions of the
Union and State Governments all over the country.
Seven banks forming subsidiary of State Bank of India was nationalized in 1960 on 19th July,1969, major
process of nationalization was carried out. It was the effort of the then Prime Minister of India, Mrs. Indira
Gandhi. 14 major commercial banks in the country was nationalized.
Second phase of nationalization Indian Banking Sector Reform was carried out in 1980 with seven more banks.
This step brought 80% of the banking segment in India under Government ownership.
❖ The following are the steps taken by the Government of India to Regulate Banking Institutions in the
Country: 1949: Enactment of Banking Regulation Act.
❖ 1955: Nationalization of State Bank of India.
❖ 1959: Nationalization of SBI subsidiaries.
❖ 1961: Insurance cover extended to deposits.
❖ 1969: Nationalization of 14 major banks.
❖ 1971: Creation of credit guarantee corporation.
❖ 1975: Creation of regional rural banks.
❖ 1980: Nationalization of seven banks with deposits over 200 crores.
After the nationalization of banks, the branches of the public sector bank India rose to approximately 800% in
deposits and advances took a huge jump by 11,000%.
Banking in the sunshine of Government ownership gave the public implicit faith and immense confidence about
the sustainability of these institutions.
Phase III
This phase has introduced many more products and facilities in the banking sector in its reforms measure. In
1991, under the chairmanship of M Narasimha, a committee was set up by his name which worked for the
liberalization of banking practices. The country is flooded with foreign banks and their ATM stations. Efforts are
being put to give a satisfactory service to customers. Phone banking and net banking is introduced. The entire
system became more convenient and swifter. Time is given more importance than money. The financial system
of India has shown a great deal of resilience. It is sheltered from any crisis triggered by any external
macroeconomics shock as other East Asian Countries suffered. This is all due to a flexible exchange rate regime,
the foreign reserves are high, the capital account is not yet fully convertible, and banks and their customers
have limited foreign exchange exposure.
ABSTRACT
State Bank of India (SBI) and AXIS Bank are the two leading banks in India.one being a public sector and later
one is private sector bank. Financial Performance and the efficient functioning of commercial banks are the
major measuring attributes of a country’s financial system. For the comparison of bank’s position, the study has
applied Solvency ratios, Profitability ratios, and Management efficiency ratios on SBI and AXIS Bank. The study
has identified that the banks have been maintaining their prescribed parameters and operating profitably.
Further the study notices a difference in the efficiencies and performances of the Banks with regards to
Investments, Net profit, Advances, Deposits, and Total assets. The study, tries to prove that SBI has a better
performance AXIS Bank.
BANKS IN INDIA
In India the banks are being segregated in different groups. Each group has their own benefits and limitations in
operating in India. Each has their own dedicated target market. Few of them only work in rural sector while
others in both rural as well as urban. Many even are only catering in cities. Some are of Indian origin and some
are foreign players.
All these details and many more is discussed over here. The banks and its relation with the customers, their
mode of operation, the names of banks under different groups and other such useful information’s are talked
about.
One more section has been taken note of is the upcoming foreign banks in India. The RBI has shown certain
interest to involve more of foreign banks than the existing one recently. This step has paved a way for few more
foreign banks to start business in India.
INDIAN BANKING INDUSTRY
The Indian banking market is growing at an astonishing rate, with Assets expected to reach US$1 trillion by
2010. An expanding economy, middleclass, and technological innovations are all contributing to this growth.
The country’s middle-class accounts for over 320 million People. In correlation with the growth of the economy,
rising income levels, increased standard of living, and affordability of banking products are promising factors for
continued expansion.
The Indian banking Industry is in the middle of an IT revolution, Focusing on the expansion of retail and rural
banking. Players are becoming increasingly customer -centric in their approach, which has resulted in
innovative methods of offering new banking products and services. Banks are now realizing the importance of
being a big playerand are beginning to focus their attention on mergers and acquisitions to take advantage of
economies of scale and/or comply with Basel II regulation. “Indian banking industry assets are expected to
reach US$1 trillion by 2010 and are poised to receive a greater infusion of foreign capital,” says Prathima Rajan,
analyst in Celent's banking group and author of the report. “The banking industry should focus on having a
small number of large players that can compete globally rather than having a large number of fragmented
players.
Objectives
• To compare the financial performance of SBI and Axis Bank.
• To compare the profitability position and managerial efficiency of SBI and Axis Bank.
Statement of the problem
The financial execution of SBI and AXIS banks are the major elements of the country’s financial
progress. The basic objective of Banking industry is to upgrade the performance and profitability.
Moreover, today managers of bank are striving to develop their performance based on financial views
which evaluate overall performance of organization and presenting an effective feedback. The
performances of bank have two be measured through two aspects, financial and human. The financial
performance and their efficiency of banks act as a parameter that assists customers, mangers,
regulators and supervisors in decision making. For the analysis of data, the following ratios are
considered viz., Profitability ratio, Solvency ratio,and Management efficiency ratios of SBI and AXIS
Bank.
OBJECTIVE OF THE STUDY: -
1. To know the strength and weakness of State Bank of India and Axis Bank through Ratio analysis.
2. To evaluate the performance of the companies.
3. To understand the liquidity, profitability and efficiency positions of the companies.
4. To make comparison between the ratios during different periods.
5. To understand the analysis of risk and return of selected banks (SBI and AXIS).
6. To provide adequate information to investors to judge their investment decisions on the basis of Beta.
7. To impart knowledge to the investors with conceptual clarity of equities for investment.
• LIMITATIONS OF THE STUDY
However I tried my level best in collecting the relevant information for my research
report, yet there are always some problems faced by the researcher. The prime
difficulties I faced in collection of information are discussed below:
• Analysis of the study was depended only on the information available in the
internet.
• Study was restricted to the period of 5 years.
• Detail study was not possible because of time constraints.
• Study process was restricted to the company’s rules and regulations.
Data collection
To analyze the performance of both SBI and AXIS Bank the data was collected through annual report
from sources of secondary data such as Internet, Magazines, Websites, Books, and Journals
ARTICLES AND LITERATURE REVIEWS FROM PREVIOUS

STUDY:
Reviewing an article that is already existing is known as ‘Literature Review’. Literature reviews and review of
various articles give a brief knowledge about any particular idea or topic to bring it into actual existence. It is
the starting step in order to initiate the study.
EQUITY ANALYSIS:
From the review of literatures, the topic ‘Equity Analysis’ is chosen to carry out the study. Equity Analysis is
the process of analyzing the equity shares of different organizations listed on the stock market, and suggesting the
investors to invest in the equities that give high returns.
EQUITY ANALYSIS OF SBI AND AXIS BANK:

Basing on the topic ‘Equity Analysis’, the study is carried out considering the data of SBI and AXIS Bank from
the websites of NSE and various journals, pertaining to a time period of 2 years. The objectives of the study are:
1 . To understand the analysis of risk and return of selected banks (SBI and AXIS Bank).
2 To provide adequate information to investors to judge their investment decisions basing on Beta values.
ANALYSIS OF DATA AND INTERPRETATIONS:

The data is analyzed using various statistical tools such as:
• Mean
• Standard Deviation
• Variance
• Covariance
• Correlation
• Beta
•
The interpretations are as follows:
1. The Standard Deviation which indicates the risk is more in the month of October with a value of 6.44. The
Mean which indicates the return, is also high in the month of October with a value of 1.1. The existence of
the risk is much higher than the returns on the whole for SBI in 2018.
2. The Returns are high in the month of February with a value of 0.46. The Standard Deviation is high in the
month of October, which is 3.26 for AXIS bank in 2018.
The present study is based on secondary data. The analysis is based on liquidity,
profitability, turnover ratio which are calculated with the help of data from financial statements of
the State Bank of India. All the related to State Bank of India Auditors reports, Internet, Books,
Journals, Magazines and the like.
Research Design
This study adopted descriptive Research to find the facts.
Sampling Design
Judgmental sampling technique was used in this study. This technique involved a judgmentalselection
based on the purpose of the sample
Selection of the Sample Units

Banking sector is one of the fast-growing financial institution. Using this Judgmental sample technique
State Bank of India and Axis Bank were selected as a sample unit for this study. These sample units
are selected based on their better performance in banking sector.
Tools Applied
The major tools applied for the analysis of the data are Percentages, Ratios, and T-Test
Secondary Data:
Secondary data is the data which is already collected. In this case the sources are
collected through websites, catalogues of bank, newspapers, magazines etc.
REVIEW OF
LITERATURE
1. Sathya Swaroop Debasish (2006) analyzed efficiency performance in Indian banking sector. This
study measure the relative efficiency of banks segmented on the basis of bank size, ownership
structure and new economy/old economy banks. The current study does not include a few of
the important banking efficiency parameters like non-performing asset, capital adequacy
figures, customer satisfaction index and other service quality variables.
2. Fadzlan Sufian, Muzafar Shah Habibullah (2009) measures macroeconomic attributes of bank
profitability of Chinese banking industry in the post-reform period of 2000–2005. This study
results focuses on the relationship in bank profitability and its explanatory variables.
3. Fadzlan Sufian and Mohamad Akbar Noor Mohamad Noor (2012) the study determines the
Bank Performance in a Developing Economy and focuses on relationship between bank
profitability and Explanatory variables. The study identified that impact of Indian bank’s
profitability on the development of economy is negative.
4. Jaynal Ud-din Ahmed (2015) the study focused on evaluating the performance of Regional Rural
Banks. The study analyzes the development on every sector and deployment of credit of RRBs
over the years. This study found that RRBs are not in a position to deploy credit for socio-
economic development unlike Indian Commercial Banks.
5. Poonam Singh and Kanhaiya Singh (2015) analyzed the Parameters to determine the efficiency
of Indian Public Sector Banks. The study observed efficiency of rural variable among all the
operational performance variables.
6. Hannes Koster and Matthias Pelster (2017) conducted a study. The study focused on financial
penalties and its impact on profitability and stock performances of bank. The study focuses on
profits of banks deposits and loans.
7. Manish Mittal and Arunna Dhademade (2005) they found that higher profitability is
the only major parameter for evaluating banking sector performance from the
shareholders point of view. It is for the banks to strike a balance between commercial
and social objectives. They found that public sector banks are less profitable than
private sector banks. Foreign banks top the list in terms of net profitability. Private
sector banks earn higher non-interest income than publicsector banks, because these
banks offer more and more fee-based services to business houses or corporate sector.
Thus there is urgent need for public sector banks to provide such services to stand in
competition with private sector banks.
8. Manish Mittal and Arunna Dhademade (2005) they found that higher profitability is
the only major parameter for evaluating banking sector performance from the
shareholders point of view. It is for the banks to strike a balance between commercial
and social objectives. They found that public sector banks are less profitable than
private sector banks. Foreign banks top the list in terms of net profitability. Private
sector banks earn higher non-interest income than public sector banks, because these
banks offer more and more fee based services to business houses or corporate sector.
Thus there is urgent need for public sector banks to provide such services to stand in
competition with private sector banks.
9. I.M. Pandey (2005): An efficient allocation of capital is the most important financial
function in modern times. It involves decision to commit the firm's funds to the long
term assets. The firm’s value will increase if investments are profitable and add to the
shareholders wealth. Financial decisions are important to influence the firm’s growth
and to involve commitment of large amount of funds. The types of investment decisions
are expansion of existing business, expansion of new business and replacement and
modernization. The capital budgeting decisions of a firm has to decide the way in which
the capital project will be financed. The financing or capital structure decision. The
assets of a company can be financed either by increasing the owners claims on the
creditors’ claims. The various means of financing represent the financial structure of an
enterprise.
10. Medhat Tarawneh (2006) financial performance is a dependent variable and measured
by Return on Assets (ROA) and the intent income size. The independent variables are
the size of banks as measured by total assets of banks, assets management measured
by asset utilization ratio (Operating income divided by total assets) operational
efficiency measured by the operating efficiency ratio (total operating expenses divided
by net income.
11.Fernando Ferreng (2012) it is generally agreed that recent economic crisis intensified
worldwide competition among financial institution. This competition has direct impact
on how bank deal with their customer and achieve its objectives performance
evaluation of banks is the key function for improving banks performance. Banks
profitability and success to a large extent depends on bank branch financial
performance
12. Ramchandan Azhagasahi and Sandanvn Gejalakshmi (2012): In their study found the
impact of assets management operational efficiency and bank size on the financial
performance of the public sector and private sector bank. The research revealed that
bank with higher total capital deposits and total assets do not always mean that they
have better financial performance. The overall banking sector is strongly influenced by
assets utilization, Operational efficiency and interest income.
13.NutanTroke and P K Pachorkar (2012): The study related that the private sector bank
the percentage of other income in the total income is higher than public sector bank.
Public sector bank depend on intent income for their efficiency and performance. The
operational efficiency of private sector banks is better than public sector banks. Private
sector bank use their assets quality better than public sector banks.
14.Pawankumar Avdhanam and Sriniwas Kolluru, Ramkrishne Fonnd, (2013) in their study
that state bank group other than SBI home finance has performed better throughout the period
of study. Though there was a decline in PAT for the year 2000-01 but then there was continuous
rise in PAT. Most public sector banks have performed better over year.
CH-3
STATE BANK OF INDIA

SBI is an Indian multinational, Public Sector banking and financial services company. SBI is one of India’s major
banks and is an industry leader in terms of size, business sector promotion and initiatives for the progress and
economic enhancement of the Indian economy.
SBI is entering into many new businesses with strategic tie ups – Pension Funds, General Insurance, Custodial
Services, Private Equity, Mobile Banking, Point of Sale Merchant Acquisition, Advisory Services, organized items
and so on – every one of these activities having a massive potential for development.SBI is moving forward with
forefront innovation and imaginative new saving money models, to strengthen its presence and widen its client
base.The bouquet of services provided by SBI includes Personal Banking, International, Banking, Agriculture /
Rural and Corporate Banking, SME, Government Business and Domestic Treasury. SBI is a universally
acknowledged regional banking giant and has 20% market share in deposits and loans among Indian
commercial banks.
As on 31.03.2015 revenue earned by SBI was Rs. 2.573 trillion and Net Income was Rs. 175.2 billion. By the end
of December 2013, SBI had assets worth US$388 billion and 17,000 branches, including 190 foreign offices,
making it the largest banking and financial services company in India by assets.SBI has acquired local banks as
part of rescue efforts. Bank of Bihar was acquired in 1969 along with its 28 branches. Krishnaram Baldeo Bank
was acquired in 1975 and the Bank of Cochin in Kerala was acquired in 1985 along with its 120 branches. SBI
share is listed in NSE stock market by the symbol of SBIN
Study the company management, company profile, ownership, Board of Directors and Organization Structure
of SBI
COMPANY PROFILE OF SBI, NSE, INDIA

Date of Incorporation 31-Dec-1955
Date of Listing 03-Nov-1994
Management
Name Designation
Rajnish Kumar Chairman
Sanjiv Malhotra Director
Basant Seth Director
Bhaskar Pramanik Director
Rajiv Kumar Director
Pravin Hari Kutumbe Director
Rajnish Kumar Managing Director
P K Gupta Managing Director
Dinesh Kumar Khara Managing Director
B Sriram Managing Director
Chandan Sinha Nominee Director
Pushpendra Rai Nominee Director
Girish K Ahuja Nominee Director
Website
http://www.sbi.co.in
Mumbai, Maharashtra, India
State Bank of India
Industry :Banks - Public Sector
Incorporation Year 1955
Chairman Pratip Chaudhuri
Managing Director Hemant G Contractor
Company Secretary -
Auditor B M Chatrath & Co/ Kalyaniwala & Mistry
State Bank Bhavan 8th Floor,
Registered Office Madame Cama Road Nariman Point,
Mumbai, 400021, Maharashtra
Telephone 91-22-22883888/22022678
Fax 91-22-22855348
E-mail gm.snb@sbi.co.in
Website http://www.sbi.co.in
Face Value (Rs) 10
BSE Code 500112
BSE Group A
NSE Code SBIN
Bloomberg SBIN IN
Reuters SBI.BO
ISIN Demat INE062A01012
Market Lot 1
Ahmedabad,Chennai,Delhi,Kolkata,London,Mumbai,
Listing
NSE
Financial Year End 03
Book Closure Month May
AGM Month Jun
Datamatics Financial Services, PlotNo-A-16-17 PartB, Cross
Lane MIDC, Marol Andheri (East), Mumbai - 400 093.
Registrar's Name & Address
91-22-28213383/90/66
91-22-28369408
It is the largest Indian banking and financial services company (by turnover and total assets) with its
headquarters in Mumbai, India. It is state-owned. The bank traces its ancestry to British India, through the
Imperial Bank of India, to the founding in 1806 of the Bank of Calcutta, making it the oldest commercial bank in
the Indian Subcontinent. Bank of Madras merged into the other two presidency banks, Bank of Calcutta and
Bank of Bombay to form Imperial Bank of India, which in turn became State Bank of India. The government of
India nationalized the Imperial Bank of India in 1955, with the Reserve Bank of India taking a 60% stake, and
renamed it the State Bank of India. In 2008, the government took over the stake held by the Reserve Bank of
India.
SBI provides a range of banking products through its vast network of branches in India and overseas, including
products aimed at non-resident Indians (NRIs). The State Bank Group, with over 16,000 branches, has the
largest banking branch network in India. SBI has 14 Local Head Offices and 57 Zonal Offices that are located at
important cities throughout the country. It also has around 130 branches overseas.
With an asset base of $352 billion and $285 billion in deposits, SBI is a regional banking behemoth and is one of
the largest financial institutions in the world. It has a market share among Indian commercial banks of about
20% in deposits and loans. T The State Bank of India is the 29th most reputed company in the world according
to Forbes. Also SBI is the only bank featured in the coveted "top 10 brands of India" list in an annual survey
conducted by Brand Finance and The Economic Times in 2010. The State Bank of India is the largest of the Big
Four banks of India, along with ICICI Bank, Punjab National Bank and HDFC Bank—its main competitors.
History of state bank of India:
State Bank of India is the largest state-owned banking and financial services company in India. The Bank
provides banking services to the customer. In addition to the banking services, the Bank through their
subsidiaries, provides a range of financial services, which include life insurance, merchant banking, mutual
funds, credit card, factoring, security trading, pension fund management and primary dealership in the money
market.
The Bank operates in four business segments, namely Treasury, Corporate/ Wholesale Banking, Retail Banking
and Other Banking Business. The Treasury segment includes the investment portfolio and trading in foreign
exchange contracts and derivative contracts. The Corporate/ Wholesale Banking segment comprises the lending
activities of Corporate Accounts Group, Mid Corporate Accounts Group and Stressed Assets Management
Group. The Retail Banking segment consists of branches in National Banking Group, which primarily includes
personal
banking activities, including lending activities to corporate customers having banking relations with branches in
the National Banking Group.
SBI provides a range of banking products through their vast network of branches in India and overseas,
including products aimed at NRIs. The State Bank Group, with over 16,000 branches, has the largest banking
branch network in India. The State bank of India is the 10th most reputed company in the world according to
Forbes. The bank has 156 overseas offices spread over 32 countries. They have branches of the parent in
Colombo, Dhaka, Frankfurt, Hong Kong, Johannesburg, London and environs, Los Angeles, Male in the Maldives,
Muscat, New York, Osaka, Sydney, and Tokyo. They have offshore banking units in the Bahamas, Bahrain, and
Singapore, and representative offices in Bhutan and Cape Town.
State Bank of India was incorporated in the year 1955. The Bank traces their ancestry to British India, through
the Imperial Bank of India, to the founding in 1806 of the Bank of Calcutta, making them the oldest commercial
bank in the Indian Sub-continent. The Government of India
nationalized the Imperial Bank of India in the year 1955, with the Reserve Bank of India taking a 60% stake, and
name was changed to State Bank of India.
In the year 2001, the SBI Life Insurance Company was started by the Bank. They are the only Bank that have
been permitted 74% stake in the insurance business. The Bank's insurance subsidiary 'SBI Life Insurance
Company' is a joint venture with Cardif S.A in which Cardif holds 26% of the stake.
During the year 2005-06, the bank introduced 'SBI e-tax' an online tax payments facility for direct and indirect
tax payment. They also launched the centralized pension processing. The Bank made a partnership with Tata
Consultancy Services for setup C-Edg Technologies and consulting services to the banking, financial services and
insurance industry. The bank was noted as 'The most preferred bank' in a survey by TV 18 in association with AC
Nielsen-ORG Marg. Also, the Bank was voted as 'The most preferred housing loan provider' in AWAAZ consumer
awards for the year 2006.
In the customer loyalty survey 2006-07 conducted by 'Business World', the Bank was ranked number one in all
parameters of customer satisfaction, service orientation, customer care/ call center, customer loyalty and home
loans. SBI Funds was judged 'Mutual fund of the year' by CNBC/TV-18/CRISL. The Bank introduced new products
and services such as web-based remittance, instant fund transfer, online-trading and comprehensive cash
management.
During the year 2007-08, the Bank launched 965 branches all over the country. They inaugurated a new state-
of-the art Dealing Room with online connectivity to all active forex intensive Branches at Corporate Centre in
Mumbai. They launched a new product, Construction Equipment Loan to cater to construction Companies. Also,
they introduced new products such as SBI Reverse Mortgage Loan and SBI Home Plus in the areas of Home
Loans.
During the year, the RBI transferred their entire shareholding in the Bank representing 59.73% of the issued
capital of the Bank to the Government of India. The Bank acquired 92.03% of equity of Global Trade Finance
Ltd. Consequently, GTFL became a subsidiary of the Bank. They signed an MoU with the Indian railways for
installing ATMs at 682 railway stations. In March 2008, the Bank opened their 10,000th branch and became
only the second bank in the world to have more than 10,000 branches after China's ICBC. During the year
2008-09, the company launched Import factoring, a new product in association with SBI Factors & Commercial
Services Ltd. They increased the number of branches for retail sale of gold coins from 250 to 518. Also, they re-
launched Gold Deposit Scheme at 50 branches to mobilize gold from domestic market for deployment as metal
loans to jewellers.
During the year, the Bank opened their 11,111th Branch at Sonapur (Kamrup District) in Assam. They
introduced three new products viz., SBI Special Home Loan, SBI Happy Home Loan and SBI Lifestyle in response
to the stimulus package announced by the Government of India. Also, they entered into an exclusive
arrangement with TATA Motors for handling the booking process of TATA 'Nano' cars. During the year, the
Bank launched on their web-site an on-line application form for registering Auto Loan enquiries and
expeditiously monitoring and converting these leads into Auto Loans. Also, they launched 'e-invest' for the
ASBA (applications supported by blocked accounts) to aid investors for their equity subscriptions, IPO and
Rights applications.
During the year, the Bank set up a custodial services company namely SBI Custodial Services Pvt. Ltd., in joint
venture with Societe Generale, France. They signed letter of intent for setting up of joint venture company for
undertaking General Insurance Business. Also, they divested 10% equity stake in its wholly owned subsidiary SBI
Pension Fund Pvt. Ltd at cost in favour of its subsidiaries. In October 2008, the Bank signed an MoU with State
General Reserve Fund (SGRF) of Oman, for a general-purpose private equity fund.
During the year, State Bank of Saurashtra (SBS), a wholly owned subsidiary of the Bank, amalgamated with the
Bank with effect from August 13, 2008. They signed a joint venture agreement with Insurance Australia Group
for undertaking General Insurance business. Also, they signed a joint venture agreement with Macquarie Capital
Group, Australia and IFC, Washington for setting up an Infrastructure fund of USD 3 billion for investing in
various infrastructure projects in India.
During the year 2009-10, the Bank opened 1,049 branches, out of which branches were opened in metro and
urban areas with a view to increase the Bank's reach and be more accessible to customers. In July 2009, SBI
introduced 'SBI Loan to Affluent Pensioners' enabling the government pensioners to avail personal loans up to
Rs 3 lakh.
During the year, the Bank designed a special package, the Defense Salary Package, for personnel of the three-
Armed Forces i.e. the Army, Navy and Air Force who maintain their Salary accounts with them. As of March
2010, the Bank had 12,496 branches and 21,485 Group ATMs. In June 2009, the company increased their
shareholding in Nepal SBI Bank Ltd to 55.02% and thus Nepal SBI Bank Ltd became a subsidiary of the Bank with
effect from June 14, 2009.
In May
2010, the Bank selected consortium of Elavon Incorporation, USA and Visa International, USA as their joint
venture (JV) partner for Merchant Acquiring Business. They set up a wholly owned subsidiary, namely SBI
Payment Services Pvt Ltd for conducting Merchant Acquiring Business.
In August 2010, State Bank of Indore was amalgamated with the Bank as per the scheme of amalgamation
approved by the Central Board.
During the year 2010-11, the Bank introduced 2 new products, namely 'Pushpa Ullas' and 'Arthias Plus' on pilot
basis. They made substantial progress in establishing itself as a leading PE fund player of the country. Also, they
also signed a Joint Venture agreement with State General Reserve Fund (SGRF) of Sultanate of Oman, a
sovereign entity, to set up a general-purpose private equity fund with an initial corpus of USD 100 mn,
expandable further to USD 1.5 bn.
During the year, the Bank opened 576 new branches besides merger of 470 branches of erstwhile State Bank of
Indore. Also, they opened 14 foreign offices during the year, taking the total to 156. In July 1, 2010, the Bank
launched their 'Green Channel Counter' at select branches across the country.
In General Insurance business, the Bank launched limited operations in April 2010 for the Corporate and Mid
Corporate customers based at Mumbai, and it was expanded to six other major locations in July 2010. In the
Retail segment, the Bank launched their Long-Term Home Insurance business at Mumbai in October 2010,
which was gradually extended to cover 56 RACPCs and RASMECCs. General Insurance SME business was
launched on a pilot basis in Mumbai and Chennai in February 2011. During the first quarter of the financial year
2011-12, the Government of India issued the 'Acquisition of State Bank of India Commercial & International
Bank Ltd. vide notification dated July 29, 2011. Consequent to the said notification, the undertaking of State
Bank of India Commercial & International stands transferred to and vest in State Bank of India with effect from
July 29, 2011.
MILESTONE OF STATE BANK OF INDIA
• 1806: The Bank of Calcutta is established as the first Western-type bank.
• 1809: The bank receives a charter from the imperial government andchanges its
name to Bank of Bengal.
• 1840: A sister bank, Bank of Bombay, is formed.
• 1843: Another sister bank is formed: Bank of Madras, which, together with Bank of
Bengal and Bank of Bombay become known as the presidency banks, which had the right
to issue currency in their regions.
• 1861: The Presidency Banks Act takes away currency issuing privileges but offers
incentives to begin rapid expansion, and the three banks open nearly 50 branches among
them by the mid-1870s.
• 1876: The creation of Central Treasuries ends the expansion phase of the presidency
banks.
• 1921: The presidency banks are merged to form a single entity, Imperial Bank of India.
• 1955: The nationalization of Imperial Bank of India results in the formation of the State
Bank of India, which then becomes a primary factor behind the country's industrial,
agricultural, and rural development.
• 1969: The Indian government establishes a monopoly over the bankingsector.
• 1972: SBI begins offering merchant banking services.
• 1986: SBI Capital Markets is created.
• 1995: SBI Commercial and International Bank Ltd. are launched as part of SBI's stepped-
up international banking operations.
• 1998: SBI launches credit cards in partnership with GE Capital.
• 2002: SBI networks 3,000 branches in a massive technology implementation.
• 2004: A networking effort reaches 4,000 branches.
• 2005: Raj Travels joins hands with SBI for travel loans. SBI opens branch at Vadakara. SBI
enters into agreement for bilateral sharing of ATMs with PNB on May 10, 2005.
• 2006: State Bank of India (SBI) has informed that Shri. Yogesh Agarwalhas been
appointed as Managing Director on the Board of the Bank with effect from October 10,
2006 to the June 30, 2010.
• 2007: The State Bank of India (SBI) has become the first foreign bank toset up a
branch in the Israel's diamond exchange. Besides diamonds,
they also see huge potential in telecommunications, hi-tech,chemicals,
textiles, agriculture and water management, foodprocessing, pharma
and health care.
• 2008: State Bank of India (SBI) has informed that the Central Government,
in consultation with the Reserve Bank of India and in pursuance of clause (d) of
• Section 19 ofthe State Bank of India Act, 1955 (23 of 1955), has nominated Dr. (Mrs.)
Vasantha Bharucha as a part-time non-official Director on the Central Boardof State
Bank of India for a period of three years with effect from February 25, 2008, vice Shri
Piyush Goel.
• 2009: State Bank of India, entered into an agreement with the governmentof Gujarat
to create a fund of Rs 5,000 crore for investing in equity of infrastructure projects.
• 2010: State Bank of India, with a debit card base of over 70 million, comprising SBI
Cash Plus, SBI Gold Debit Card and SBI Yuva Card, hasadded chip and PIN-based
Platinum Debit Card to its bouquet on March 26.
• 2011: SBI - Acquisition of SBICI Bank. P Choudhary has been appointed as the new
chairman of State Bank of India after getting clearance from the government.
• 2012: SBI launched virtual debit cards to check online fraud and promote Ecommerce.
• 2013: India's leading Public Sector lender the State Bank of India (SBI) is stepping up
efforts to expand its presence in the world's second biggest economy with the lender set
to launch its second branch in China.
• 2014: SBI announces 150% interim dividend.
• 2015: State Bank of India has launched a RuPay Platinum debit card in Association with
National Payment Corporation of India (NPCI). SBI builds foundation for group CSR
activities.
• 2016: SBI opens first branch in South Korea. Govt asks SBI to merge fiveassociate banks.
• 2017: SBI Acquired State Bank of Travancore, State Bank of Patiala, State Bank of
Hyderabad, State Bank of Bikaner & Jaipur, State Bank of Mysore.Bhartiya Mahila Bank
(BMB).
• 2018: Launch of Doctor’s SBI Card and Apollo SBI Card.
• 2019: Launch of SME Business Card, OLA Money SBI Credit Card, EtihadGuest SBI Card
and Allahabad Bank SBI Card.
• 2019: SBI Card enters the ‘9 million Cards’ club.
• 2020: In February 2020, SBI card offered the biggest Initial publicoffering of 2020.
3.1 BALANCE SHEET FOR THE YEAR ENDING ON MARCH 2007-2011
2007 2008 2009 2010 2011
CAPITAL AND LIABILITIES
Total share capital 526.30 631.47 634.88 634.88 635.00
Equity share capital 526.30 631.47 634.88 634.88 635.00
Share application money 0.00 0.00 0.00 0.00 0.00
Preference share capital 0.00 0.00 0.00 0.00 0.00
Reserves 30772.26 48401.09 57312.82 65314.32 64351.04
Revaluation reserves 0.00 0.00 0.00 0.00 0.00
Net worth 31298.56 49032.66 57947.70 65949.20 64986.04
Deposits 435521.09 537403.94 742073.13 804116.23 933932.81
Borrowings 39703.34 51727.41 53713.68 103011.60 119568.96
Total debt 475224.43 589131.35 795786.81 907127.83 1053501.77
Other liabilities and provisions 60042.26 83362.30 110697.57 80336.70 105248.39
Total liabilities 566565.25 721526.31 964432.08 1053413.7 1223736.20

3
2007 2008 2009 2010 2011
ASSETS
Cash and balances with RBI 29,076.43 51534.62 55546.17 61290.87 94395.50
Balance with banks, money at call

22892.27 15931.72 48857.63 34892.98 28478.65
Advances 337336.49 416768.20 542503.20 631914.15 756719.45
Investments 149148.88 189501.27 275953.96 285790.07 295600.57
Gross block 13189.28 11831.63 10403.03 11831.63 13189.28
Accumulated depreciation 8757.33 7713.90 6828.65 7713.90 8757.33
Fixed Assets 4431.95 4117.73 3574.41 4117.73 4431.95
Capital work in progress 332.23 295.18 263.44 295.18 332.23
Other assets 43777.85 35112.76 37733.27 35112.76 43777.85
Total assets 1053413.7

566565.25 721526.31 964432.08 1223736.20
4
Contingent liabilities 585294.50 429917.37 614603.47 429917.37 585294.50
Bills for collection 205092.29 166449.04 152964.06 166449.04 205092.29
Book value 1023.40 1038.76 912.73 1038.76 1023.40
EPS 86.29 106.56 143.67 144.37 116.07

3.2 PROFIT AND LOSS ACCOUNT OF STATE BANK OF INDIA FOR THE ENDING ON MARCH 2007-2011
2007 2008 2009 2010 2011
Income:
Interest earned 39491.03 48950.31 63788.43 70993.92 81394.36
Other income 7446.76 9398.43 12691.35 14968.15 14935.09
Total income 46937.79 58348.74 76479.78 85962.07 96329.45
Expenditure:
Interest expended 23436.82 31929.08 42915.29 47322.48 48867.96
Operating expenses 13251.78 14609.55 18123.66 24941.01 31430.88
Total expenses 42396.48 51619.62 67358.55 76796.02 88959.12
Other provision and contingencies 5707.88 5080.99 6319.60 4532.53 8660.28
Net profit 4541.31 6729.12 9121.23 9166.05 7370.37
Extraordinary items 0.00 0.00 0.00 0.00 0.00
Profit B/F 0.34 0.34 0.34 0.34 0.34
Total 4541.65 6729.46 9121.57 9166.39 7370.69
Preference dividend 0.00 0.00 0.00 0.00 0.00
Equity dividend 736.82 1357.66 1841.15 1904.65 1905.00
Corporate dividend tax 125.22 165.87 248.03 236.76 246.52
Per share data:
EPS 86.29 106.56 143.67 144.37 116.07
Equity dividend (%) 140.00 215.00 290.00 300.00 300.00
Book value 594.69 776.48 912.73 1038.76 1023.40
Appropriations
Transfer to statutory reserve 3682.15 5205.69 6725.15 6495.14 2488.96
Transfer to other reserve -2.88 -0.10 306.90 529.50 2729.87
Proposed dividend/ transfer to govt. 862.04 1523.53 2089.18 2141.41 2151.52
Balance C/F to balance sheet 0.34 0.34 0.34 0.34 0.34
Total 4514.65 6729.46 9121.57 9166.39 7370.69

3.3 SUSTAINABLE EARNINGS OF STATE BANK OF INDIA:
201103 201003 200903 200803 200703

(12) (12) (12) (12) (12)
INCOME:
Total 97218.96 85962.07 76482.74 58437.42 44671.37
II. Expenditure
Total 88954.44 76796.02 67361.51 51708.3 40130.06
Fringe Benefit tax 0 0 142 105 88.5

Deferred Tax 976.82 -1407.75 -1055.1 -219.43 -19.83
Reported Net Profit 8264.52 9166.05 9121.23 6729.12 4541.31
Extraordinary Items -10.23 -5.83 -1.71 7 4.52
Adjusted Net Profit 8274.75 9171.88 9122.94 6722.12 4536.79
average of adjusted Net Profit 2009,2010 and

2011
8856.52333
rounding
off 8857
Standard deviation: 504.33
Rounding off 504
3.4 CRAR%
201103 201003 200903
CRAR (%)
Year End 201103 201003 200903
CRAR - Tier I (%) 7.77 9.45 9.38
CRAR - Tier II (%) 4.21 3.94 4.87
Total CRAR (%) 11.98 13.39 14.25
Total
CRAR
(%)
2009 14.25
year 2010 13.39
2011 11.98
3.a
14.5 14.25
14
13.39
13.5
13
12.5
11.98
12 Total CRAR (%)
11.5
11
10.5
2009 2010 2011
year
EMPLOYEES
SBI is one of the largest employers in the country with 209,567 employees as on 31 March 2017, out of which
23% were female employees and 3,179 (1.5%) were employees with disabilities. On the same date, SBI had
37,875 Scheduled Castes (18%), 17,069 Scheduled Tribes (8.1%) and 39,709 Other Backward Classes (18.9%)
employees. The percentage of Officers, Associates and Subordinates was 38.6%, 44.3% and 16.9% respectively
on the same date. Around 13,000 employees joined the Bank in FY 2016–17. Each employee contributed a net
profit of 511,000 (US$7,200) during FY 2016–17.
Values
“To emerge as the leading company offering a comprehension range of banking and finance products at competitive
prices, ensuring high standards of customer satisfaction and world class operating efficiency thereby becoming a model
banking sector in India in the post liberalization period”.
• We will always be honest, transparent and ethical.
• We will respect our customers and fellow associates.
• We will be knowledge driven.
• We will learn and we will share our learning.
• We will never take the easy way out.
• We will do everything we can to contribute to the community we work in.
• We will nurture pride in India.
Logo and slogan

The logo of the State Bank of India is a blue circle with a small cut in the bottom that depicts perfection and the
small man the common man - being the center of the bank's business. The logo came from National Institute of
Design(NID), Ahmedabad and it was inspired by Kankaria Lake, Ahmedabad. Slogans: "PURE BANKING,
NOTHING ELSE", "WITH YOU - ALL THE WAY", "A BANK OF THE COMMON MAN", "THE BANKER TO EVERY
INDIAN", "THE NATION BANKS ON US"
AXIS BANK
Axis Bank is the third largest private sector bank in India. The Bank offers the entire spectrum of financial
services to customer segments covering Large and Mid-Corporates, MSME, Agriculture and Retail Businesses.
The Bank has a large footprint of 4,594 domestic branches (including extension counters) with 11,333 ATMs &
5,710 cash recyclers spread across the country as on 31st March, 2021. The Bank has 6 Virtual Centres and has
over 1500 Virtual Relationship Managers as on 31st March 2021.The Overseas operations of the Bank are
spread over eight international offices with branches at Singapore, Dubai (at DIFC) and Gift City-IBU;
representative offices at Dhaka, Dubai, Abu Dhabi, Sharjah and an Overseas subsidiary at London, UK. The
international offices focus on Corporate Lending, Trade Finance, Syndication, Investment Banking and Liability
Businesses.
Axis Bank is one of the first new generation private sector banks to have begun operations in 1994. The Bank
was promoted in 1993, jointly by Specified Undertaking of Unit Trust of India (SUUTI) (then known as Unit Trust
of India), Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC), National
Insurance Company Ltd., The New India Assurance Company Ltd., The Oriental Insurance Company Ltd. and
United India Insurance Company Ltd. The share holding of Unit Trust of India was subsequently transferred to
SUUTI, an entity established in 2003.
With a balance sheet size of Rs. 9,96,118 crores as on 31st March 2021, Axis Bank has achieved consistent
growth and with a 5 year CAGR (2015-16 to 2020-21) of 13% each in Total Assets & Advances and 15% in
Deposits.
Committee of Directors
Name of Members Category
S. Vishvanathan Chairman
Amitabh Chaudhry Member
Ketaki Bhagwati Member
Indian Business
Axis Bank has the largest ATM network among private banks in India. It even operates an ATM at one of the
world's highest sites at Thegu, Sikkim at a height of 4,023 meters (13,200 ft) above sea level.
International business
The bank has nine international offices with branches at Singapore, Hong Kong, Dubai (at the DIFC),
Shanghai, Colombo and representative offices at Dhaka, Dubai, Sharjah and Abu Dhabi, which focus on
corporate lending, trade finance, syndication, investment banking and liability businesses. In addition to the
above, the bank has a presence in UK with its wholly owned subsidiary Axis Bank UK Limited.
Services
Retail banking
The bank offers lending services to individuals and small businesses, along with liability products, card services,
Internet banking, automated teller machines (ATM) services, depository, financial advisory services, and Non-
resident Indian (NRI) services. Axis bank is a participant in RBI's NEFT enabled participating banks list.
Corporate banking
Transaction banking: Axis Bank provides products and services related to transaction banking to customers in
areas of current accounts, cash management services, capital market services, trade, foreign exchange and
derivatives, cross-border trade and correspondent banking services and tax collections on behalf of the
Government and various State Governments in India.
Investment banking and trustee services: The bank provides investment banking and trusteeship services
through its owned subsidiaries. Axis Capital Limited provides investment banking services relating to equity
capital markets, institutional stock brokering besides M&A advisory. Axis Trustee Services Limited is engaged in
trusteeship activities, acting as a debenture trustee and as a trustee to various securitization trusts.
International banking
The bank offers corporate banking, trade finance, treasury and risk management through the branches at
Singapore, Hong Kong, DIFC, Shanghai and Colombo, and also retail liability products from its branches at Hong
Kong and Colombo. The representative office at Dhaka was inaugurated during the current financial year.
Awards
2010
• Best Debt House in India – Euromoney

• Best Domestic Debt House in India – Asiamoney
• Overall Winner & Consistent Performer – (Large Banks Category) – Business Today Best Bank Awards
201
2011
• Bank of the Year – India –The Banker Awards 2011

2012
• Bank of the Year – Money Today FPCIL Awards 2012–13

• Best Private Sector Bank – CNBC-TV18 India's Best Bank and Financial Institution Awards 2012
2013
• Ranked No 1 in the IT Biz Award – large enterprises category by Express IT Awards

• Joint winner under the ‘Most Innovative Broad Based Product Offering’ category - IBA Innovations
Award.
2014
• Best Domestic Bank in India- Asiamoney Best Banks 2014

• Best Bank Award among Large Banks for IT for Business Innovation - IDRBT Banking Technology
Excellence Awards 2014
• Best Bank for Rural Reach in the Private Sector and Best Retail Growth Performance in the Private
Sector category – Dun & Bradstreet - Polaris Financial Technology Banking Awards 2014
2015
• Axis Bank has been adjudged winner in the Best Bank Category, Outlook Money Awards 2015
• Axis Bank awarded for the Best Security among Private Sector Banks in India by Data Security
Council of India (DSCI).
• Best Domestic Bank in India – Asiamoney Best Banks 2015
• Axis Bank has been featured in Limca Book of Records 2015 for creating a National Record for its
campaign – 'Plant a Sapling'
No. 1 Promising Banking Brand of 2015, Economic Times Awards 2015.
Subsidiaries
Axis Capital Ltd.
Axis Capital Ltd. was incorporated in India as a wholly owned subsidiary of the bank on 6 December 2005 and received its
certificate of commencement of business on 2 May 2006. Certain businesses of M/s. Enam Securities Pvt. Ltd. were merged
with Axis Capital Ltd. as part of a scheme and the following companies became direct subsidiaries of Axis Capital:
1. Axis Securities Ltd. (formerly Enam Securities Direct Pvt. Ltd.)

2. Axis Finance Ltd. (formerly Enam Finance Pvt. Ltd.)
3. Axis Securities Europe Ltd. (formerly Enam Securities Europe Ltd.)
4. Enam International Ltd., UAE (voluntarily dissolved with effect from 24 August 2014)
Axis Securities Ltd., Axis Finance Ltd. and Axis Securities Europe Ltd. later became direct subsidiaries of the bank in line with the
RBI directives.
Axis Securities Ltd.

Axis Securities Ltd.was incorporated in India on 21 July 2006. The sales and securities business, including the retail broking
business of Axis Capital Ltd, was merged with ASL on 25 May 2013. ASL is a wholly owned subsidiary of the bank and offers
retail asset products, credit cards and retail brokerage services.
Axis Private Equity Ltd.

Axis Private Equity Ltd. was incorporated in India as a wholly owned subsidiary of the bank on 3 October 2006 and received its
certificate of commencement on 4 December 2006. APE manages investments, venture capital funds and offshore funds.
Axis Mutual Fund

Axis Mutual Fund is a subsidiary of Axis Bank established in 2009 with in headquarters in Mumbai.
History
The bank was founded on December 3rd, 1993 as UTI Bank, opening its registered office in Ahmedabad and a
corporate office in Mumbai. The bank was promoted jointly by the Administrator of the Unit Trust of
India (UTI), Life Insurance Corporation of India (LIC), General Insurance Corporation, National Insurance
Company, The New India Assurance Company, The Oriental Insurance Corporation and United India Insurance
Company. The first branch was inaugurated on 2 April 1994 in Ahmedabad by Manmohan Singh, then finance
minister of India.
In 2001 UTI Bank agreed to merge with Global Trust Bank, but the Reserve Bank of India (RBI) withheld approval
and the merger did not take place. In 2004, the RBI put Global Trust under moratorium and supervised its
merger with Oriental Bank of Commerce. The following year, UTI bank was listed on the London Stock
Exchange. In the year 2006, UTI Bank opened its first overseas branch in Singapore. The same year it opened an
office in Shanghai, China. In 2007, it opened a branch in the Dubai International Financial Centre and branches
in Hong Kong.
On 30 July 2007, UTI Bank changed its name to Axis Bank.
In 2009, Shikha Sharma was appointed as the MD and CEO of Axis Bank.
In 2013, Axis Bank's subsidiary, Axis Bank UK commenced banking operations.
On 1 January 2019, Amitabh Chaudhry took over as MD and CEO.
In year 2021,the Bank had reduced its stake in Yes Bank from 2.39 per cent to 1.96 per cent. ‘
Initiatives
Axis Thought Factory
An innovation hub located in Bengaluru has an in-house innovation team and an accelerator program. With this
launch, Axis Bank became the first Indian bank to introduce a dedicated innovation lab in the country.
Asha home loans
Asha home loans targets first-time home buyers in the lower-income segment. The product offers loans
from ₹100,000 (US$1,400)–₹1.5 million (US$21,000) in small towns (population less than 1 million) and up to ₹2.8
million (US$39,000) in larger towns (population over 1 million), to customers with family incomes
of ₹8,000 (US$110)–₹10,000 (US$140) per month and above.
eKYC
eKYC (electronic know your customer) is an online, paperless Aadhaar card-based process for fulfilling KYC re-
quirements to start investing in mutual funds without the submission of any documents. Axis Bank partnered
with Visa Inc. to launch the 'eKYC' facility, and was the first organization in India to introduce biometrics-based
KYC.
3.6 BALANCE SHEET OF AXIS BANK
Standalone Yearly Results ------------------- in Rs. Cr. -------------------
Mar '21 Mar '20 Mar '19 Mar '18 Mar '17
Interest Earned
(a) Int. /Disc. on Adv/Bills 47,918.86 48,302.97 41,322.02 34,137.47 33,124.96
(b) Income on Investment 12,558.21 11,246.03 11,349.07 9,983.30 9,622.82
(c) Int. on balances with RBI 1,037.88 1,095.26 693.35 387.83 503.84
(d) Others 2,130.34 1,990.90 1,621.33 1,271.71 1,290.54
Other Income 14,838.20 15,536.56 13,130.34 10,967.09 11,691.31
EXPENDITURE
Interest Expended 34,406.17 37,428.96 33,277.60 27,162.58 26,449.04
Employees Cost 6,164.01 5,321.00 4,747.32 4,312.96 3,891.86
Other Expenses 12,211.14 11,983.62 11,086.08 9,677.38 8,308.05
Depreciation -- -- -- -- --
Operating Profit before Provisions and

25,702.17 23,438.14 19,005.11 15,594.48 17,584.52
contingencies
Provisions And Contingencies 16,896.33 18,533.91 12,031.02 15,472.91 12,116.96
Exceptional Items -- -- -- -- --
P/L Before Tax 8,805.84 4,904.23 6,974.09 121.57 5,467.56
Tax 2,217.34 3,277.01 2,297.48 -154.11 1,788.28
P/L After Tax from Ordinary Activities 6,588.50 1,627.22 4,676.61 275.68 3,679.28
Prior Year Adjustments -- -- -- -- --
Extra Ordinary Items -- -- -- -- --
Net Profit/(Loss) For the Period 6,588.50 1,627.22 4,676.61 275.68 3,679.28
Equity Share Capital 612.75 564.34 514.33 513.31 479.01
Reserves Excluding Revaluation Reserves 100,990.26 84,383.51 66,161.97 62,931.95 55,283.53
Equity Dividend Rate (%) -- -- 50.00 -- 250.00
ANALYTICAL RATIOS
a) % of Share by Govt. -- -- -- -- --
b) Capital Adequacy Ratio - Basel -I -- -- -- -- --
c) Capital Adequacy Ratio - Basel -II -- -- -- -- --
EPS Before Extra-Ordinary

Basic EPS 22.15 5.99 18.20 1.13 15.40
Diluted EPS 22.09 5.97 18.09 1.12 15.34
EPS After Extra Ordinary
Basic EPS 22.15 5.99 18.20 1.13 15.40
Diluted EPS 22.09 5.97 18.09 1.12 15.34
NPA Ratios:
I) Gross NPA 25,314.84 30,233.82 29,789.44 34,248.64 21,280.48
ii) Net NPA 6,993.52 9,360.41 11,275.60 16,591.71 8,626.55
i) % of Gross NPA 3.70 4.86 5.26 6.77 5.04
ii) % of Net NPA 1.05 1.56 2.06 3.40 2.11
Return on Assets % 1.11 0.20 0.63 0.04 0.65
Public Share Holding
No Of Shares (Crores) -- -- -- -- --
Share Holding (%) -- -- -- -- --
Promoters and Promoter Group Shareholding
a) Pledged/Encumbered
- Number of shares (Crores) -- -- -- -- --
- Per. of shares (as a % of the total sh. of prom.

-- -- -- -- --
and promoter group)
- Per. of shares (as a % of the total Share Cap. of

-- -- -- -- --
the company)
b) Non-encumbered
- Number of shares (Crores) -- -- -- -- --
- Per. of shares (as a % of the total sh. of prom.

-- -- -- -- --
and promoter group)
- Per. of shares (as a % of the total Share Cap. of

-- -- -- -- --
the company)
Notes |202103 |202003 |201903 |201803 |201703

3.7 PROFIT AND LOSS OF AXIS BANK
Standalone Profit & Loss account ------------------- in Rs. Cr. -------------------
12 mths 12 mths 12 mths 12 mths 12 mths
Income
Interest Earned 62,635.16 54,985.77 45,780.31 44,542.16 40,988.04
Other Income 15,536.56 13,130.34 10,967.09 11,691.31 9,371.46
Total Income 78,171.72 68,116.11 56,747.40 56,233.47 50,359.50
Expenditure
Interest expended 37,428.95 33,277.60 27,162.58 26,449.04 24,155.07
Employee Cost 5,321.00 4,747.32 4,312.96 3,891.86 3,376.01
Selling, Admin & Misc Expenses 51,555.51 36,735.87 23,984.69 21,780.65 17,870.76
Depreciation 772.95 709.72 568.10 508.80 443.91
Operating Expenses 35,838.54 27,864.41 13,546.95 12,276.07 13,810.73
Provisions & Contingencies 21,810.92 14,328.50 15,318.80 13,905.24 7,879.95
Total Expenses 95,078.41 75,470.51 56,028.33 52,630.35 45,845.75
12 mths 12 mths 12 mths 12 mths 12 mths
-
Net Profit for the Year -7,354.41 719.08 3,603.12 4,513.75
16,906.70
Profit brought forward 24,323.00 23,043.05 24,448.33 23,766.46 17,623.49
Total 7,416.30 15,688.64 25,167.41 27,369.58 22,137.24
Preference Dividend 288.86 0.00 0.00 0.00 0.00
Equity Dividend 0.00 0.00 1,405.28 1,407.43 1,191.42
Corporate Dividend Tax 0.00 0.00 0.00 0.00 213.19
Per share data (annualised)
Earning Per Share (Rs) -60.94 -28.60 2.80 15.04 18.94
Equity Dividend (%) 0.00 50.00 0.00 250.00 250.00
Book Value (Rs) 301.05 259.27 247.20 232.83 223.12

Appropriations
Transfer to Statutory Reserves 1,076.18 1,791.38 275.68 1,589.98 2,077.89
Proposed Dividend/Transfer to Govt 288.86 0.00 1,405.28 1,407.43 1,404.61
Balance c/f to Balance Sheet 24,585.17 25,928.28 23,043.05 24,448.33 22,364.65
Total 25,950.21 27,719.66 24,724.01 27,445.74 25,847.15
3.8 RATIO ANALYSIS OF AXIS BANK:
Mar 2019 Mar 2018 Mar 2017 Mar 2016 Mar 2015
Mar 2020
Operational & Financial Ratios
Earnings Per Share (Rs) 6.57 19.59 1.78 16.51 35.04 31.42
Dividend Per Share (Rs) 0.00 1.00 0.00 5.00 5.00 4.60
Book NAV/Share (Rs) 305.99 263.66 250.17 235.41 224.77 189.62
Margin Ratios
Yield on Advances 10.93 11.06 10.36 11.85 12.01 12.56
Yield on Investments 8.67 6.99 7.44 10.00 7.97 8.01
Cost of Liabilities 4.77 4.76 4.51 5.08 5.16 5.25
NIM 3.08 2.96 2.94 3.28 3.35 3.27
Interest Spread 6.16 6.30 5.85 6.77 6.86 7.31
Performance Ratios
ROA (%) 0.22 0.67 0.07 0.69 1.65 1.75
ROE (%) 2.44 7.65 0.77 7.22 16.97 17.87
ROCE (%) 5.89 7.90 4.62 7.79 12.48 14.08
Efficiency Ratios
Cost Income Ratio 42.95 46.00 47.90 41.31 39.27 41.38
Core Cost Income Ratio 45.31 47.02 50.12 46.14 40.85 43.28
Operating Costs to Assets 1.95 2.05 2.10 2.08 1.94 2.06

Figure 3.b: Total Deposits, Total Advances and Retail Advances of AXIS Bank from 2013-14 to 2017-18
Figure 3.c: CASA, SB Deposits and CA Deposits of AXIS Bank from 2013-14 to 2017-18
Figure 3:
Total Assets, NII and Other Income of AXIS Bank from 2013-14 to 2017-18
Figure 3.d: Operating Revenue, OP and NP of AXIS Bank from 2013-14 to 2017-18
Figure 3.e: Book Value per share, DPS and Gross NPA of AXIS Bank from 2013-14 to 2017-18
Figure 3.f: Financial Performance Indicators of AXIS Bank

3.9 Investment Valuation Ratio:
FISCAL YEAR AXIS BANK
VALUE RANK
2013-14 16.07 4
2014-15 15.09 2
2015-16 15.29 3
2016-17 14.95 1
2017-18 16.57 5
Sum of Rank Order 15
No. of Data 5
Financial Performance of AXIS Bank through key Performance Indicators:

According to Financial Year 2017-18 some of key Highlights of Financial performance of Axis Bank is as
follows:
• 691,330 Cr. Total Assets, 15% Year on Year growth
• 453,623 Cr. Total deposits, 9% Year on Year growth
• 439,650 Cr. Total Advances, 18% Year on Year growth
• 56,747 Cr. Total Income, 1% Year on Year growth
• 18,618 Cr. Net Interest Income, 3% Year on Year growth
• 95,650 Cr. Current Account Deposits in 2017-18, 10% Year on Year growth
• 131,022 Cr. Market Capitalizations
• 22.34 million Debit Card Base and 4.48 million Credit Card Base
• 16.57% Capital Adequacy Ratio and 13.04% Tier – I Capital Adequacy Ratio
• 13,814 ATMS, 2,263 Cash Deposit & Withdrawal Machines, 3,703 Branches and 66 SME Centers
• 4th largest credit card issuer in India & 7% market share in debit cards based on spends at POS terminals
CH-4
DATA ANALYSIS
1. Net Profit Ratio
Table 1 illustrates that the period of study, Net profit ratio of both SBI and AXIS Banks are fluctuated.
The highest Net Profit Ratio of SBI was 8.59% in 2014-15 and for AXIS bank it was 20.74% in 2014-15.
However, the lowest Net Profit Ratio of SBI was -2.97% in 2017-18 and 0.60% for AXIS bank in 2017-
18.
Table 4: Net Profit Ratio
SBI (Rs in crores) AXIS (Rs in crores)

Yea Net
Net Profit Net sales Net Profit Net Net
r Profit
Ratio Profit sales
Ratio
2013 - 2014 10,891.17 136350.8 7.9876099 6,217.67 30641.1 20.291888
6 43
2014 - 2015 13,101.57 152397.07 8.596995992 7,357.82 35478.6 20.738755
19
2015 - 2016 9,950.65 163685.31 6.079134407 8,223.66 40988.0 20.06356
4
2016 - 2017 10,484.10 175518.24 5.973225347 3,679.28 44542.1 8.2602190
6 82
2017 - 2018 -6547.45 220499.32 -2.969374237 275.68 45,780.3 0.6021802
1 82
2. Operating Profit Ratio

Table 2 illustrates that the period of study, Operating ratio of both SBI and AXIS Banks are fluctuated.
The highest Operating Profit Ratio of SBI was 11.45% in 2014-15 and for AXIS bank it was 17.50% in
2015-16. However, the lowest Operating Profit Ratio of SBI was8.08% in 2017-18 and 11.34% for
AXIS bank in 2017-18.
Table 4.1: Operating Profit Ratio

Yea Operati Net sales Operating Operati Net Operating
r ng Profit ng Profit
sales
Profit Ratio Profit Ratio
2013 – 2014 14890.2 136350.8 10.920551 4414.7 30641.1 14.408038
6 99 9 6 08
2014 – 2015 17454.1 152397.07 11.453041 5426.0 35478.6 15.293895
72 6 48
2015 – 2016 16799.7 163685.31 10.263443 7176.0 40988.0 17.507692
5 92 6 4 49
2016 – 2017 17680.2 175518.24 10.073186 6402.0 44542.1 14.372922
8 7 1 6 19
2017 – 2018 17829.7 220499.32 8.0860748 5195.4 45,780.3 11.348743
4 23 9 1 6
3. Return on Shareholder’s Investment or Net Worth Ratio
Table 3 illustrates that the period of study, Net Worth Ratio of both SBI and AXIS Banks are fluctuated.
The highest Net Worth Ratio of SBI was 10.20% in 2014-15 and for AXIS bank it was 16.46% in 2014-
15. However, the lowest Net Worth Ratio of SBI was -2.98% in 2017-18and 0.43% for AXIS bank in
2017-18. The table says that the Net Worth Ratio of SBI is went to negative values the return of
shareholders investment went on losses.
Table 4.2: Return on Shareholder’s Investment or Net Worth Ratio

Year Return on
Share Return on Share
Net Holders net worth Net Profit Holders net worth
Profit Fund Ratio Fund Ratio
2013 - 10,891.17 1,18,282.25 9.207780 6,217.67 38,220.49 16.267897
2014 55 14
2014 - 13,101.57 1,28,438.23 10.20067 7,357.82 44,676.52 16.469098
2015 78 31
2015 - 9,950.65 1,44,274.44 6.897029 8,223.66 53,164.91 15.468210
2016 1 14
2016 - 10,484.10 1,88,286.06 5.568176 3,679.28 55,762.54 6.5981212
2017 5 48
2017 - -6547.45 2,19,128.56 - 275.68 63,445.26 0.4345163
2018 2.987949 06
1
4. Earnings per Share [EPS]

Table 4 illustrates that the period of study, EPS of both SBI and AXIS Banks are fluctuated.The
highest EPS of SBI was 17.54% in 2014-15 and for AXIS bank it was 17.25% in 2015-
15. However, the lowest EPS of SBI was -7.33% in 2017-18 and 0.53% for AXIS bank in2017-18.
The table says that the EPS of SBI is gone to negative value.
Table 4.3: Earnings Per Share [EPS]

Year No. Earnings No. of Earnings
Net Profit of per shares Net Profit Equity per shares
Equit Shares
y
Share
s
2013 - 2014 10,891.17 746.57 14.58827705 6,217.67 469.84 13.23359016
2014 - 2015 13,101.57 746.57 17.54901751 7,357.82 474.1 15.51955284
2015 - 2016 9,950.65 776.28 12.81837739 8,223.66 476.57 17.25593302
2016 - 2017 10,484.10 797.35 13.14868 3,679.28 479.01 7.681008747
2017 - 2018 -6547.45 892.46 -7.336407234 275.68 513.31 0.537063373
5. Total Assets Turnover Ratio

Table 7.5 illustrates that the period of study, Total Assets Turnover Ratio of both SBI and AXIS Banks
are fluctuated. The highest Total Assets Turnover Ratio of SBI was 7.60% in 2013-14 and for AXIS bank
it was 7.99% in 2013-14. However, the lowest Total Assets Turnover Ratio of SBI was 6.42% in 2017-
18 and 6.62% for AXIS bank in 2017-18.
Table 4.4: Total Assets Turnover Ratio

Year Total Total
Net Total Assets Net sales Total Assets
sales Assets Turnover Assets Turnover
Ratio Ratio
2013 - 136350. 1,792,234.6 7.60786562 30641.16 383,244.8 7.9951907
2014 8 0 2 9 51
2014 - 152397. 2,048,079.8 7.44097324 35478.6 461,932.3 7.6804746
2015 07 0 7 9 25
2015 - 163685. 2,259,063.0 7.24571675 40988.04 525,467.6 7.8002981
2016 31 5 9 1
2016 - 175518. 2,674,380.6 6.5629490 44542.16 601,467.6 7.4055785
2017 24 5 7 6 48
2017 - 220499. 3,429,904.0 6.42873151 45,780.31 691,329.5 6.6220673
2018 32 1 4 7 88
6. Dividend Pay-Out Ratio
Table 6 illustrates that the period of study, Dividend Pay-Out Ratio of both SBI and AXIS Banks are
fluctuated. The highest Dividend Pay-Out Ratio of SBI was 2.05% in 2013-14 and for AXIS bank it was
1.62% in 2012-13. However, the lowest Dividend Pay-Out Ratio of SBIwas 0% in 2017-18 and 0% for
AXIS bank in 2017-18. Compare to SMI and AXIS the Dividend Pay-Out Ratio of SBI is in negative.
Table 4.5: Dividend Pay-Out Ratio

Yea Dividend Earnings Dividend Dividend Earnings Dividend
r Per per pay-out Per per pay-out
share shares ratio share shares ratio
2012 - 2013 41. 20.6 2.0125689 18 11.07 1.6262600
5 2 65 32
2013 - 2014 30 14.5 2.0564457 20 13.23 1.5113056
9 26 82
2014 - 2015 3.5 17.5 0.1994413 4.6 15.52 0.2964002
5 65 92
2015 - 2016 2.6 12.8 0.2028337 5 17.26 0.2897554
2 85 13
2016 - 2017 2.6 13.1 0.1977384 5 7.68 0.6509561
5 8 65
2017 - 2018 - 0 1.48 0
7.34
Debt-Equity Ratio
Table 7 illustrates that the period of study, Debt-Equity Ratio of both SBI and AXIS Banks are
fluctuated. The highest Debt-Equity Ratio of SBI was 16.34% in 2015-16 and for AXIS bank it was
10.89% in 2017-18. However, the lowest Debt-Equity Ratio of SBI was 14.2% in 2016-17 and 9.88% for
AXIS bank in 2015-16.
Table 4.6: Debt-Equity Ratio

Year Share Share
Total Debt Total Debt
Liabilit Holde Equity Liabilit Holde Equity
ies rs Ratio ies rs Ratio
Fund Fund
2013 - 1,792,748.2 1,18,282.25 15.1 383244.89 38,220.49 10.02
2014 8 5
2014 - 2,048,079.8 1,28,438.23 15.9 461932.39 44,676.52 10.33
2015 0 4
2015 - 2,357,617.5 1,44,274.44 16.3 525,467.62 53,164.91 9.88
2016 5 4
2016 - 2,674,380.6 1,88,286.06 14.2 601467.67 55,762.54 10.78
2017 5
7. Interest Expended to Interest Earned Ratio
Table 8 illustrates that the period of study, Interest Expended to Interest Earned Ratio of both SBI and
AXIS Banks are fluctuated. The highest Interest Expended to Interest Earned Ratioof SBI was 66.05%
in 2017-18 and for AXIS bank it was 60.99% in 2013-14. However, the least Interest Expended to
Interest Earned Ratio of SBI was 63.86% in 2013-14 and 58.93% for AXIS bank in 2015-16.
Table 4.7: Interest Expended to Interest Earned Ratio
SBI AXI
Year S
Interest Expended / Interest Interest Expended /
Earned Interest Earned
2013 - 63.8 60.99
2014 6
2014 - 63.9 59.91
2015
2015 - 65.1 58.93
2016 2
2016 - 64.7 59.38
2017 6
2017 - 66.0 59.33
2018 5
RESULTS
Table 4.8
VARIABLE MEAN1 MEAN2 SD SE C. V

S
Deposits 1890603.77 365871.11 2.41 1.07781753 3.35
4 4 1
Advances 1495902.82 332528.63 1.86 0.83184257 2.59
2 6
Investments 656637.29 130113.38 1.14 0.50983899 1.58
2 8
Net Profit 7576.008 5150.822 1212.5 542.30322 1.60
9
Total Assets 2440732.42 532688.42 3.016 1.34883720 4.20
2 4 9
Table value = 2.236
Table 9 demonstrates the Performance of SBI and AXIS Bank in terms of Deposits,
Advances, Investments, Net Profit, and Total Assets by applying the t- test
The calculated value of Deposits 3.35 is greater than the table value 2.236. Therefore, H01 is
rejected.
The calculated value of Advances 2.59 is greater than the table value 2.236. Therefore,H02 is
rejected.
The calculated value of Investments 1.58 is less than the table value 2.236. Therefore,H03 is
rejected.
The calculated value of Net Profit 1.58 is less than the table value 2.236. Therefore, H04is
rejected.
The calculated value of Total Assets 4.2 is greater than the table value 2.236. Therefore,H05 is
rejected.
Table4.9: Consolidated Values of Mean and Standard Deviation of SBI for 2018:
SBI
2018
Mon Januar Febru Mar Apr Ma June July Augu Septem Octob Novem Decem
th y ar c i y s be er be be
y h l t r r r
Mea 0.19 0.18 0.4 - 0 -0.24 0. -0.54 -0.42 1.1 0.23 -0.15
n 0.0 6
6 4
SD 1.94 1.17 1.26 1.3 1.7 1.07 1. 1.71 0.99 6.44 2.4 1.31
6 2
2
Graph 4.a: Graph Showing Risk and Return of SBI 2018
Interpretation: The graph depicts that, the Standard Deviation which indicates the risk is more in the month of
October with a value of 6.44. The Mean which indicates the return, is also high in the month of October with a
value of 1.1. The existence of the risk is much higher than the returns on the whole.
Table 4.9: Consolidated Values of Mean and Standard Deviation of
SBI for 2019:
SBI
2019
Mont Janua Febru Marc Apr Ma June July Augu Septem Octob Novem Decem
h r ar h i y s be e be be
y y l t r r r r
Mean 0.06 -0.8 -0.34 - 0.4 - 0. 0.27 -0.83 0.32 0.06 0.2
0.0 2 0.17 5
5 8
SD 2.02 1.84 2.39 1.86 1.8 1.58 1. 1.98 1.73 3.29 1.6 1.28
7 9
1
Graph 4.b: Graph Showing Risk and Return of SBI 2019
Risk and Return Equity Analysis of SBI - 2019

4
-1
-2
Interpretation: The graph depicts that, Mean is more in the month of July, which is 0.58. The Standard
Deviation is high in the month of October, which is 3.29. On the whole, for the year 2018, the existence of risk is
higher than the returns.

AXIS for 2018:
AXIS
2018
Mon Janua Febru Mar Apr Ma Ju July Augu Septem Octob Novem Decemb
th r ar c i y n s be e be er
y y h l e t r r r
Mea 0.19 0.46 - 0.2 0.05 0.04 0. -0.18 0.09 0.19 0.12 0.27
n 0.13 2 0
3
SD 2.1 1.98 1.42 1.5 1.6 1.35 1. 1.09 1.43 3.26 1.52 1.05
8 4
9
Graph 4.c: Graph Showing Risk and Return of AXIS Bank 2018
Risk and Return Equity Analysis of AXIS Bank
- 2018
4
3
2
1
0
-1
Interpretation: The graph depicts that, the returns are high in the month of February with a value of 0.46. The
Standard Deviation is high in the month of October, which is 3.26. Though the risk is considerably high
throughout the year, there are more number of positive returns, than negative returns

AXIS for 2019:
AXIS
2019
Mon Janua Febru Mar Apr Ma Ju July Augu Septem Octob Novem Decemb
th r ar c i y n s be e be er
y y h l e t r r r
Mea 0.24 -0.59 - 0.1 0.2 -0.3 0. 0.8 -0.3 -0.2 0.37 -0.03
n 0.17 5 3
5
SD 1.48 1.86 1.68 2.9 1.4 1.19 1. 1.82 1.71 2.87 1.7 1.59
8 1 7
8
Graph 4.d: Graph Showing Risk and Return of AXIS Bank 2019
Risk and Return Equity Analysis of AXIS bank - 2019

4
-1
Interpretation: The graph depicts that, returns are high in the month of July with a value of 0.35. The risk is
high in the month of October, which is 2.87. On the whole, the risk is prevailing more than the returns.
4.12 HYPOTHESIS TESTING:
Correlation between SBI and AXIS for the
year 2018
Mean 0.4224295
Correlation 6
SD Correlation 0.9435368
27
Correlation between SBI and AXIS for the

year 2019
Mean 0.0560205
Correlation 64
SD Correlation 0.8954940
89
Ho1: There is no correlation between the average share prices of SBI and AXIS
SBI Bank AXIS Bank
Pearson Correlation 1 1.000**
SBI Bank Sig. (2-tailed) .000
N 5 5
**
Pearson Correlation 1.000 1
AXIS Bank Sig. (2-tailed) .000
N 5 5
Interpretation: The above table revealed that the correlation of the average share prices between the SBI, and
AXIS Bank at the significance level (2-tailed) of 0.000 the correlation value is 1.0000. It is concluded that person
correlation value less than the 0.05. Hence there is no correlation between the average share prices of SBI, and
AXIS Bank.
Ho3: Ho1: There is no correlation between the beta values of SBI and AXIS
5.5
SBI Bank AXIS Bank
Pearson Correlation 1 .895
SBI Bank Sig. (2-tailed) .056
N 5 5
Pearson Correlation .895 1
AXIS Bank Sig. (2-tailed) .056
N 5 5
Interpretation: The above table revealed that the correlation of beta values between the SBI, and AXIS at the
significance level (2- tailed) of 0.056 the person correlation value is 0.895, It is concluded that person correlation
value greater than the 0.05. Hence there is a correlation between the average share prices of SBI and AXIS Bank.
It shows that the correlation between SBI and AXIS Bank there is a positive correlation.
4.13 CURRENT VALUATIONS
SBI/
SBI AXIS BANK
AXIS BANK
P/E (TTM) x 18.0 68.8 26.2%
P/BV x 1.3 2.0 62.5%
Dividend Yield % 0.0 0.0 -
FINANCIALS
EQUITY SHARE DATA
5-Yr
SBI AXIS BANK SBI/ Chart
Mar-20 Mar-20 AXIS BANK Click to
enlarge
High Rs 373 827 45.2%
Low Rs 174 285 60.9%
Income per share

Rs 302.4 225.8 133.9%
(Unadj.)
Earnings per share

Rs 22.1 6.6 337.3%
(Unadj.)
Cash flow per share

Rs 128.1 16.2 792.4%
(Unadj.)
Dividends per share

Rs 0 0 -
(Unadj.)
Avg Dividend yield % 0 0 -
Book value per share

Rs 281.3 306.0 91.9%
(Unadj.)
Shares outstanding (eoy) m 8,924.59 2,821.68 316.3%
Bonus / Rights /
- - -
Conversions
Avg Price / Income ratio x 0.9 2.5 36.7%

EQUITY SHARE DATA
5-Yr
SBI AXIS BANK SBI/ Chart
Mar-20 Mar-20 AXIS BANK Click to
enlarge
Avg P/E ratio x 12.3 84.6 14.6%
Avg P/CF ratio x 3.6 7.6 47.9%
Avg Price/Book value

x 1.0 1.8 53.5%
ratio
Dividend payout % 0 0 -
Rs
Avg Mkt Cap 2,440,429 1,568,290 155.6%
m
No. of employees `000 249.4 74.1 336.5%
Rs
Total wages & salary 488,510 58,200 839.4%
m
Rs
Avg. income/employee 10,818.0 8,594.0 125.9%
Th
Rs
Avg. wages/employee 1,958.4 785.0 249.5%
Th
Rs
Avg. net profit/employee 792.5 249.9 317.1%
Th
INCOME DATA
Rs
Interest income 2,698,517 637,157 423.5%
m
Rs
Other income 981,590 163,420 600.7%
m
Rs
Interest expense 1,611,238 379,959 424.1%
m
Rs
Net interest income 1,087,279 257,197 422.7%
m
Rs
Operating expense 1,317,816 180,658 729.5%
m
Rs
Gross profit -230,537 76,540 -301.2%
m
INCOME DATA
Gross profit margin % -8.5 12.0 -71.1%
Rs
Provisions/contingencies 470,991 187,380 251.4%
m
Rs
Profit before tax 280,062 52,580 532.6%
m
Rs
Extraordinary Inc (Exp) 0 0 -
m
Rs
Minority Interest -13,722 -256 5,351.7%
m
Rs
Prior Period Items 29,631 0 -
m
Rs
Tax 98,294 33,792 290.9%
m
Rs
Profit after tax 197,678 18,531 1,066.7%
m
Net profit margin % 7.3 2.9 251.9%
BALANCE SHEET DATA
Rs
Advances 23,743,112 5,829,588 407.3%
m
Rs
Deposits 32,741,606 6,421,572 509.9%
m
Credit/Deposit ratio x 72.5 90.8 79.9%
Yield on advances % 7.8 8.5 92.3%
Cost of deposits % 4.5 4.6 98.8%
Net Interest Margin % 2.8 3.1 91.6%
Rs
Net fixed assets 400,782 43,943 912.0%
m
Rs
Share capital 8,925 5,643 158.1%
m
Rs
Free reserves 2,501,677 857,761 291.7%
m
BALANCE SHEET DATA
Rs
Net worth 2,510,601 863,404 290.8%
m
Rs
Borrowings 3,329,007 1,551,802 214.5%
m
Rs
Investments 12,282,843 1,552,816 791.0%
m
Rs
Total assets 41,974,923 9,278,718 452.4%
m
Debt/equity ratio x 14.4 9.2 155.6%
Return on assets % 0.5 0.2 235.8%
Return on equity % 7.9 2.1 366.9%
Capital adequacy ratio % 13.1 17.5 74.9%
Net NPAs % 2.2 1.6 142.9%
CASH FLOW
Rs
From Operations 239,285 304,156 78.7%
m
Rs
From Investments -33,237 -96,589 34.4%
m
Rs
From Financial Activity 54,295 88,651 61.2%
m
Rs
Net Cashflow 288,030 297,955 96.7%
m
SHARE HOLDING
Indian Promoters % 58.6 29.5 198.6%
Foreign collaborators % 0.0 0.0 -
Indian inst/Mut Fund % 20.9 10.0 209.0%
FIIs % 9.7 48.8 19.9%
ADR/GDR % 2.1 3.3 63.6%
Free float % 8.7 8.4 103.6%

Shareholders 855,889 148,435 576.6%
Pledged promoter(s)
% 0.0 0.0 -
holding
SBI
bank in the country with an asset size of over Rs 13 trillion. Although the bank's loan book is largely skewed
towards corporate (large, mid and small) loans (50% of total advances in FY12), the retail side is also fast
catching up. SBI has a network of almost 14,270 branches and over 22,141 ATMs across the country.
AXIS BANK
Axis Bank is one of the most aggressive players in the private sector banking industry having more than tripled
its share in non-food credit over the last 9 years from 1% in FY02 to 3.6% in FY12. Axis Bank has set up a
network of 9,925 ATMs, the third largest in the country. During the period FY07 to FY12, Axis Bank has grown
its advances at a compounded annual rate of 47%, against the industry average of 27%. The bank acquired
Enam's investment banking business by issue of shares in 1QFY13
As of 12 August 2016, the bank had a network of 4,096 branches and extension counters and 12,922
ATMs.
Summary and
Conclusions
The study provides key findings according to the data analysis and arrives on someconclusions
based on the findings.
• The average Net Profit Ratio of SBI is 5.13% and AXIS bank is 13.99%, which implies thatthe
Net Profit Ratio of AXIS bank is 8.85%, which is more than that of the SBI.
• The average Operating profit ratio of SBI is 10.15% and AXIS bank is 14.58% it means AXIS
bank Operating profit ratio is 4.42% more than SBI.
• The average Net Worth Ratio of SBI is 5.77% and AXIS bank is 11.04% it means AXIS bankNet
Worth Ratio is 5.27% more than SBI.
• The average EPS of SBI is 10.15% and AXIS bank is 10.84% it means AXIS bank EPS is
0.69% more than SBI.
• The average Total Assets Turnover Ratio of SBI is 7.05% and AXIS bank is 7.50% it means
AXIS bank Total Assets Turnover Ratio is 0.44% more than SBI.
• The average Dividend Pay-Out Ratio of SBI is 4.66% and AXIS bank is 4.34% it means SBI
bank Dividend Pay-Out Ratio is 0.44% more than AXIS.
• The average Debt-Equity Ratio of SBI is 15.45% and AXIS bank is 10.33% it means SBI
bank Debt-Equity Ratio is 5.07% more than AXIS.
➢ SUGGESTIONS
• An Earnings per Share (EPS) of SBI Bank is very low when compared to AXIS. Where in 2017-18
the value gone to negative it implies profitability of SBI is not equal to AXIS Bank. Therefore,
the SBI Bank may take some measures to increase income over expenditure for increasing
Earning per Share.
• Debt-equity Ratio of SBI is higher when compared to AXIS Bank. As a result, SBI should have a
control on their debts. Axis Bank have to maintain the standards to manage their debts.
• CONCLUSION
According to the analysis both SBI and AXIS banks are maintaining their standards and requirements. Both
the banks are running with profitability. But their performance indicate the significant difference between
both the banks of SBI and AXIS in terms of Deposits, Advances, Investments, Net Profit, and Total Assets.
It is suggested to the investors to prefer investment in equities having returns, with low or moderate risk.
Equities generating high returns, with high risk are also considered better, to the extent of interest of investors.
The Beta is the indicator of volatility of stocks. It measures the fluctuations in securities. From this study, it is
observed that, the equities of SBI are much volatile and riskier, than that of AXIS bank equities. The Return on
Equity from SBI is much lower, compared to AXIS. The fluctuation of the stocks clearly indicate that, SBI
equities are bearing more risk. AXIS generates good amount of returns, though there is existence of risk in a
considerable amount. Hence, it is suggested to the investors to invest in AXIS Bank equities.
Every investor’s objective is to obtain greater returns, with minimum risk. Equity Analysis is one such analysis,
which acts as a supporting tool to the investors before they make up their mind to invest in any of the
organization’s equities. It gives the information required by the investors to put forward their investment options
and to make a wise investment decision. Based on the data used and analysis carried out for this study, the
performance of AXIS Bank is considered superior to SBI. The performance of each and every organization’s
stocks keep on changing based on the market conditions and many other factors such as political, economical,
social factors which impacts the stock market. Hence, the investors must analyze all the crucial factors which
may have a direct bearing on the market and it is hoped that, this study fulfills the investor requirements.
REFERENCES:
http://en.wikipedia.org/wiki/State_Bank_of_India
http://en.wikipedia.org/wiki/Axis_Bank
http://www.moneycontrol.com/financials/state bank of India/balance-sheet/SBI
https://www.moneycontrol.com/financials/axisbank/balance-sheetVI/AB16#AB16
https://www.moneycontrol.com/stocks/company_info/print_main.php
http://www.moneycontrol.com/financials/bankofbaroda/profit&loss/SBI
htps://www.axisbank.com/docs/default- source/annual-reports/for-axis-bank/annual- report-

2019.pdf
https://www.equitymaster.com/stock-research/compare/SBI-UTIB/Compare-SBI-AXIS-BANK
http://www.moneycontrol.com
https://www.axisbank.com/docs/default-source/annual-reports/for-axis-bank/annual-report-2019.pdf
https://ticker.finology.in/
https://ticker.finology.in/company/AXISBANK
https://ticker.finology.in/company/AXISBANK
www.google.com
www.capitaline.com
www.sbi.com
www.investopedia.com
www.in.finance.yahoo.com
www.sbi.co.in
www.Axisbank.com
"Media Center – Corporate Profile". Axis Bank. Retrieved 26 January 2014.
http://www.thenational.ae/business/banking/indias-axis-bank-seeks-gulf-expansion-with-branch-in-
sharjah
https://www.axisbank.com/annual-report-2018-2019/axis_2018-19.pdf

A Comperative Study of Financial Statement Analysis of State Bank of India and Axis Bank

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A Comperative Study of Financial Statement Analysis of State Bank of India and Axis Bank

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PROJECT WORK

Project Title: A COMPARATIVE STUDY OF FINANCIAL STATEMENT ANALYSIS OF STATE BANK

A project submitted in partial fulfilment ofthe

B. Com (Hons.) 2018-2021

College Roll No. BCFIN18304

Registration No. KU1838459

University Roll No.191605472215

Under the Supervision of

This Project entitled "A COMPARATIVE STUDY OF FINANCIAL STATEMENT

is hereby approved as a creditable commerce study

PROJECT SUPERVISOR EXTERNAL EXAMINER

Name: SOURAV MANDAL

University Roll No.191605472215

List Of Table (i)

SL.NO NAME OF THE TITLE Page

SL.NO NAME OF THE TITLE Page

- Banking Companies (Regulation) Act,1949

ORIGIN OF THE WORD “BANK”: -

Banking system in India

➢ HISTORY OF BANKING IN INDIA

❖ Early phase from 1786 to 1969 of Indian Banks

Statement of the problem

OBJECTIVE OF THE STUDY: -

• LIMITATIONS OF THE STUDY

ARTICLES AND LITERATURE REVIEWS FROM PREVIOUS

EQUITY ANALYSIS OF SBI AND AXIS BANK:

ANALYSIS OF DATA AND INTERPRETATIONS:

Selection of the Sample Units

STATE BANK OF INDIA

COMPANY PROFILE OF SBI, NSE, INDIA

History of state bank of India:

• 1806: The Bank of Calcutta is established as the first Western-type bank.

• 1986: SBI Capital Markets is created.

• 2014: SBI announces 150% interim dividend.

• 2018: Launch of Doctor’s SBI Card and Apollo SBI Card.

• 2019: SBI Card enters the ‘9 million Cards’ club.

CAPITAL AND LIABILITIES

Total share capital 526.30 631.47 634.88 634.88 635.00

Equity share capital 526.30 631.47 634.88 634.88 635.00

Share application money 0.00 0.00 0.00 0.00 0.00

Preference share capital 0.00 0.00 0.00 0.00 0.00

Reserves 30772.26 48401.09 57312.82 65314.32 64351.04

Revaluation reserves 0.00 0.00 0.00 0.00 0.00

Net worth 31298.56 49032.66 57947.70 65949.20 64986.04

Deposits 435521.09 537403.94 742073.13 804116.23 933932.81

Borrowings 39703.34 51727.41 53713.68 103011.60 119568.96

Total debt 475224.43 589131.35 795786.81 907127.83 1053501.77

Other liabilities and provisions 60042.26 83362.30 110697.57 80336.70 105248.39

Total liabilities 566565.25 721526.31 964432.08 1053413.7 1223736.20

2007 2008 2009 2010 2011

Balance with banks, money at call

Advances 337336.49 416768.20 542503.20 631914.15 756719.45

Investments 149148.88 189501.27 275953.96 285790.07 295600.57

Gross block 13189.28 11831.63 10403.03 11831.63 13189.28

Accumulated depreciation 8757.33 7713.90 6828.65 7713.90 8757.33

Fixed Assets 4431.95 4117.73 3574.41 4117.73 4431.95

Capital work in progress 332.23 295.18 263.44 295.18 332.23

Other assets 43777.85 35112.76 37733.27 35112.76 43777.85

Total assets 1053413.7

Contingent liabilities 585294.50 429917.37 614603.47 429917.37 585294.50

Bills for collection 205092.29 166449.04 152964.06 166449.04 205092.29

Book value 1023.40 1038.76 912.73 1038.76 1023.40

EPS 86.29 106.56 143.67 144.37 116.07