Financial Statement Analysis of Jamuna Bank Ltd.

Prepared for:
Ahmed Tausif Saad
Course Instructor
Course Title: Business Statistics I
Course Code: MIS-201

Prepared by:
A K M Al Asraf 19102004
Tasfia Khanum Mim 19102010
Md. Warisur Rahman Orin 19102015
John Ashis Nathaniel 19102021

Department of Business Administration

University of Asia Pacific

September 30, 2020

ii
September 30, 2020
Ahmed Tausif Saad
Course Instructor,
Department of Business Administration
University of Asia Pacific.

Subject: Submission of report on “Financial Statement Analysis of Jamuna Bank Ltd.”

Dear Sir,

We are pleased to submit the report on “Financial Statement Analysis of Jamuna Bank Ltd.”

In this report, we have tried to focus on analyzing and comparing their year to year (2017-2019) financial
statement and their objectives, mission & vision. While preparing this report, we tried our level best to
follow your instructions.

We have tried our best to cover all the relevant information you have assigned us. We sincerely hope that
you will enjoy reading this report and consider it as a resourceful one. We will be pleased and grateful to
you to answer if you have any queries regarding this report.

Sincerely,

A K M Al Asraf
Tasfia Khanum Mim
Md. Warisur Rahman Orin
John Ashis Nathaniel

iii
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Executive Summary

In Bangladesh, the banking sector is playing a vital role in the nation's economy. Currently, there are 60
scheduled banks operating within this country. Jamuna Bank limited one of the renowned private
commercial banks running its operation since 2001. The bank has already gained people faith and trust for
its satisfactory service. This report focuses on “Financial Statement Analysis of Jamuna Bank Ltd.”
This report will give a clear idea about the analysis of the financial statement of Jamuna Bank Ltd.

We have divided the entire report into four parts. In the introduction section, we have basically discussed
the limitation of objectives, opportunities, methods and limitations. In the second part, Jamuna Bank
Limited company details and company mission, vision, core values and also SWOT analysis. In the third
part we tried to present our results about JBL and the financial performance analysis. In the fourth part we
give a conclusion following the whole report.

No. Contents Page No.

Title Fly i
Title Page ii
Letter of Transmittal iii
Executive Summary iv
1.0 Introduction to the Report 1
1.1 Origin of the Report 1
1.2 Objective of the Study 1
1.3 Scope of study 1

1.4 Methodology 1

iv
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

1.5 Limitations 2
2.0 Industrial Overview 2
3.0 Company Overview 3
3.1 Product & Service 4
4.0 SWOT Analysis 5
4.1 Strength 5
4.2 Weakness 5
4.3 Opportunity 6
4.3 Threat 6
5.0 Comparison & Analysis 7
5.1 Key Performance Indicator 7
5.2 Analysis of Balance Sheet 11
5.3 Analysis of Profit & Loss Statement 14
5.4 Analysis of Cash Flow 16
6.0 Ratios Analysis 19
6.1 Liquidity Ratios 19
6.2 Profitability Ratio 20
6.3 Asset Management Ratio 22
6.4 Solvency Ratio 22
7.0 Conclusion 23
8.0 Appendix 24
9.0 References 29
Table of Content:

v
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

1.0 Introduction to the Report

1.1 Origin of the Report

The report titled “Financial Statement Analysis of Jamuna Bank Ltd” has been prepared for Ahmed
Tausif Saad, Course instructor, Business Statistics I. The report has been submitted on 30 September,
2020.

1.2 Objective of the Study

Broad Objective
To get an overall idea about Jamuna Bank’s financial statement.

Other Objective
❖ To identify the general Banking activities of Jamuna Bank Ltd.
❖ To analyze the ratios of the bank.
❖ To identify growth and contributions on Jamuna Bank Ltd.’s financial
statement from 2017-2019.

1.3 Scope of study

This report covered the required financial statement analysis of Jamuna Bank Limited and also includes
graphical presentation.

1.4 Methodology

This report is prepared based on information collected from:

https://lankabd.com/Company/Search?
searchText=JAMUNABANK&cn=Jamuna_Bank_Limited_(JAMUNABANK)

https://jamunabankbd.com/

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 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

1.5 Limitations
There were some limitations for which the analysis could not be done properly.

✔ Because of the pandemic situation we can’t go outside.

✔ Due to the pandemic situation none of us can meet physically.
✔ Difficulty in network service because of weather change.
✔ Lack of resources.

2.0 Industrial Overview:

As a developing economy Bangladesh has encouraged to develop its banking industry to promote
economic growth. Over the last three decades or so the country has seen spectacular expansion of the
banking industry. At present there are 60 banks operating there activities in Bangladesh including 42 local
private banks, 9 foreign banks, 3 specialized banks and 6 own stated banks. The banking industry in
Bangladesh has even gone a step further by promoting financial inclusion of the very poor in rural areas
of which microfinance and microcredit are the policy instruments to achieve that objective. This has
helped to expand the rural economy and as a consequence it has become more market-oriented. Such
market orientation of the rural economy also facilitated continuous resource transfer from rural areas to
urban areas. Bangladesh's banking system is now faced with a slow-motion banking crisis principally at
the government-run banks along with some private sector banks. On the other hand there are more
significant changes in the banking sector. Such as Online Banking, Mobile Banking etc. There are
growing numbers of private banks in Bangladesh. Jamuna Bank LTD., Dutch Bangla Bank and moreover.
These banks help the economic system continuously.

2
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

3.0 Company Overview:

Jamuna Bank Limited (JBL) is a Banking Company registered under the Companies Act, 1994 of
Bangladesh. The Bank started its journey from 3rd June 2001. Jamuna Bank Limited is a public limited
company by share. The bank within a period of 18 years of its operation achieved a remarkable success
and met the capital sufficiency requirement of Bangladesh Bank. In present the Bank has 141 branches
which they are leading very successfully all over Bangladesh. Jamuna Bank was established by leading
business personalities and renowned industrialists of the country with rewards in various segments of the
national economy. They established the Bank with a vision to bring efficient and professional banking
service to the people and the business community of Bangladesh to help the national economy grow. The
Bank provides all types of support to trade, commerce, industry, foreign exchange and overall business of
the country.
The Bank offers both conventional and Islamic banking through selected branches. The Bank is being
managed and operated by a group of highly educated and professional teams with diversified experience
in finance and banking. The management of the bank constantly focuses on understanding customer needs
& demands. Since the need of customers is changing day by day with the changes of time, the bank
goings-on its best strategies and introduces new products to manage the changed situation. Jamuna Bank
Ltd. has already achieved tremendous progress within its past 18 years of operation. The bank has already
built up recognition & reputation as one of the quality service providers of the country.

VISION
To become a leading
banking institution and
play a significant role in
the development of the
country.
CORE
MISSION
The Bank is committed to
VALUES
satisfy diverse needs of its Trust, Integrity,
customers through an array Commitment, Business
of best suited products at a Ethics, Quality, Fairness,
competitive price by using Teamwork, Respect,
appropriate technology and Courtesy Harmony, Unique
providing timely service so Culture, Responsible
that sustainable growth, Corporate Citizen
reasonable return and
contribution to the
development of the country
can be ensured with a
motivated and professional
work-force. 3
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

3.1 Product & Service:

▪ DEPOSIT PRODUCT

 Triple Growth Deposit Scheme

 Savings Bank Account
 Monthly Benefit Scheme
 Current Deposit Account
 Lakhpati Deposit Scheme
 Short Notice Deposit Account
 Millionaire Deposit Scheme
 Grihini Savings Account
 Kotipati Deposit Scheme
 Student Savings Account
 Rural Deposit Scheme
 JBL School Account
 Mudaraba Hajj Savings Scheme
 Senior Citizen Savings Account
 Pension Deposit Scheme
 Resident Foreign Currency Deposit Accounts
 Educational Scheme
 Fixed Deposit Receipts
 Monthly Savings Scheme
 Double Growth Deposit Scheme
 Marriage Scheme

▪ CORPORATE LOAN PRODUCTS

▪ RETAIL LOAN PRODUCT

▪ SMALL & MEDIUM ENTERPRISE (SME) FINANCING

▪ AGRICULTURE LOAN

▪ NRB DEPOSIT AND INVESTMENT SCHEME

▪ LOAN SCHEME FOR NRB

▪ INVESTMENT FACILITIES FOR NRB

4
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

4.0 SWOT Analysis

Finding out the organization's strength, weakness, opportunities and threats based on the product service,
price, place, promotion, customer satisfaction etc. is known as SWOT analysis. In this competition
market, SWOT analysis for Jamuna Bank will help to understand the insights of performance and future
development of this organization. Here I’ll discuss the strengths, weaknesses, opportunities and threats
related to Jamuna Bank Limited.

4.1 STRENGTH

⮚ Jamuna Bank Ltd. provides fast and quality service compared to the other banks of
this country.
⮚ JBL is operating 4th generation internet banking with an automation process.
⮚ Having very professional and experienced executives to solve the critical problems.
⮚ JBL has recently introduced mobile banking.
⮚ Having renowned corporate clients and maintaining relationships for a long time.
⮚ JBL is popular for its “Corporate Social Responsibility” activities all over the
country. Jamuna bank foundation organizes a free campaign on anti-drug
movement, blood donation program, free medical service, scholarship for the
unprivileged students.
⮚ JBL has high performance in foreign exchange department and is financially stable.

4.2 WEAKNESS

⮚ Jamuna Bank Ltd. has a lack of advertisement and promotional activities.

⮚ Insufficient number of modern accessories for digital banking.
⮚ JBL has no specific research and development division.
⮚ Lack of strong initiative to explore investment opportunities through
research and marketing.

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 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

4.3 OPPORTUNITY

⮚ Jamuna Bank Ltd. can bring new innovation in product and servicers.
⮚ JBL can establish more branches to capture more customers countrywide and
diversify their service.
⮚ JBL can operate more smoothly by recruiting more skilled people.
⮚ JBL can expand foreign exchange activities because they already have a big
number of exporters and importers on their faith.

4.4 THREAT

⮚ New competitors and the risk in the security system in the overall banking system.
⮚ Multinational and fast growing banks are capturing the market with new ideas and
technology.
⮚ Political uncertainty and economic breakdown.
⮚ Continuous pressure from the government for reducing interest rate.
⮚ New rules and policy of Bangladesh Bank.
⮚ Problem in adjusting currency with foreign country.

5.0 Comparison & Analysis:

5.1 Key Performance Indicator-

6
 Net Profi t aft er Tax
3,000,000,000 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.
2,607,849,991
2,500,000,000
2,316,694,033

2,021,014,217
2,000,000,000

1,500,000,000

Total Assets
1,000,000,000
300,000,000,000

500,000,000
250,000,000,000
242,928,464,391
0 225,018,217,322
200,000,000,000 2017 2018 2019
197,058,538,062

150,000,000,000

100,000,000,000

50,000,000,000

0
2017 2018 2019
This
graph
shows 3 years (2017-19) of Balance Sheet that includes Total Assets, Total Liabilities and Capital. Here
the Balance sheet of 2017-19 is gradually increasing.

This graph shows the Net Profit after Tax of 3 years (2017-19). The amount is gradually increasing.

7
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Loans and Advances

200,000,000,000
177,278,778,727
180,000,000,000
165,402,850,110
160,000,000,000
142,252,938,595
140,000,000,000
120,000,000,000
100,000,000,000
80,000,000,000
60,000,000,000
40,000,000,000
20,000,000,000
0
2017 2018 2019
Year

This graph shows the Loans and Advances from (2017-19). The amount is moving upward and in 2019 it
has gained the highest limit.

Investment
45,000,000,000

40,000,000,000 39,200,606,704

35,000,000,000
31,648,683,494
30,000,000,000
26,061,920,030
25,000,000,000

20,000,000,000

15,000,000,000

10,000,000,000

5,000,000,000

0
2017 2018 2019

An Investment is an asset or item acquired with the goal of generating income or appreciation. The graph
shows the total Investment from (2017-19) and the investment amount increasing per year.

8
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Total Shareholder's Equity

17,160,586,579
18,073,502,568

2019
19,000,000,000
18,000,000,000
17,000,000,000 2018
15,433,370,829
16,000,000,000
15,000,000,000 2017
14,000,000,000
1

2017 2018 2019

In this graph the total amount of Shareholder’s Equity has increased from 2017 to 2018. On the other
hand in 2019 it has suddenly decreased.

Deposit

250,000,000,000
202,509,515,613
188,034,298,024
200,000,000,000 167,571,330,837

150,000,000,000

100,000,000,000

50,000,000,000

0
2017 2018 2019

This chart shows the Deposit of bank from 2017 to 2019. Here the value of Deposit increases from 2017
to 2019.

9
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Ne t Profi t Margin
The
0.6
0.53
Net
0.5
0.43
0.41
0.4

0.3

0.2

0.1

0
2017 2018 2019

Profit Margin for Jamuna bank in last three years was not good and it is decreasing. That means
percentage change in Net Interest Income was lower than percentage change in Net Income.

From the graph in the year of 2017-19 Earning per Share has significantly increased.
5.2 Analysis of Balance Sheet

10
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Above two graphs show the Current Assets of three years and its Growth.

This graph shows the different sectors’ contributions in the Total Assets of 2017.
Fixed Assets
including
Total Assest of 2018
Balance with
premises,
furniture and other banks
fixtures and financial
Cash
Other assets institutions
1%
2% 5% 4%
Investmen
ts
14%

Loans and
advances
74%

11
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Above two graphs show the total Assets of 2018 & 2019 and also showing the contributions of the
following years.

Changes of Investments
Changes of Loans & Advance
19.5 16
13.99 19.26
14 These graphs show the changes of Loans
19
12 and Advance, Investments from the year
18.5
2017-18 to 2018-19.
percentage

10
18
17.65
8 6.69
17.5
6
17
4
16.5
2017-18 2 2018-19
0 year
2017-18 2018-19

Changes of Cash Cash

7.74 13,500,000,000
12,941,193,9
88
13,000,000,000
Above two 12,500,000,000
11,938,919,6
percentage

3.81 graphs show 29

12,000,000,000
the total value 11,483,111,6
68
of Cash from 11,500,000,000
2017-19 &
11,000,000,000
2017-18 2018-19 total changes
of Cash 2017- 10,500,000,000
year 2017 2018 2019
19.

5.3 Analysis of Profit & Loss Statement

12
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Profit Growth

12%
10%

2017-2018 2018-2019

Above graph shows the Profit Growth Rate from 2017-19 and it also shows that the profit margin is
increasing.

Net Interest Income

BDT 7,000,000,000 6,433,562,839

BDT 6,000,000,000
5,337,269,940
BDT 5,000,000,000
BDT 4,000,000,000 3,799,171,684

BDT 3,000,000,000
BDT 2,000,000,000
BDT 1,000,000,000
BDT 0
2017 2018 2019

Above graph shows the Net Interest Income from 2017-19 and its increasing every year.

13
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Profi t on Investment
Total Operating Income
12,000,000,000 11,439,527,495
BDT 20,000,000,000
17,825,528,278
BDT 18,000,000,000 9,817,783,355
10,000,000,000
BDT 16,000,000,000 8,785,997,526 14,993,702,297
BDT 14,000,000,000
8,000,000,000
BDT 12,000,000,000 11,424,651,068
BDT 10,000,000,000
6,000,000,000
BDT 8,000,000,000
BDT 6,000,000,000
BDT 4,000,000,000
4,000,000,000
BDT 2,000,000,000
2,000,000,000 BDT 0 2017 2018 2019

0
2017 2018 2019

This graph shows the increasing rate of Profit on Investment from 2017-19.

This graph shows the Total Operating Income from 2017-19 and also showing the increasing amount of
those following years.

Total Ope rati ng Expe nse

5,597,682,809
BDT 6,000,000,000 5,188,770,148

BDT 5,000,000,000 4,450,587,029

BDT 4,000,000,000

BDT 3,000,000,000

BDT 2,000,000,000

BDT 1,000,000,000

BDT 0
2017 2018 2019

14
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Above graph shows Total Operating Expense of 2017-19.

5.4 Analysis of Cash Flow

Net Cash
BDT 6,000,000,000 Flow from Operating Activities5,930,988,259
BDT 5,000,000,000

BDT 4,000,000,000
Am ount

BDT 3,000,000,000 2,466,561,428

BDT 2,000,000,000

BDT 1,000,000,000
-66,744,978
BDT 0
2017 2018 2019
-BDT 1,000,000,000

This Bar chart shows that “Net cash flow from operating activies” from 2017 to 2019. Here cash inflows
happened in 2017 & 2019. In 2018 cash outflow happened.In this chart 2019 represented higher value of
cash inflow.

Net Cash Flow from Investing Activities

3,573,666,884
BDT 4,000,000,000
BDT 2,000,000,000
BDT 0
2017 2018 2019
-BDT 2,000,000,000
-BDT 4,000,000,000
-BDT 6,000,000,000
-5,931,534,688
-BDT 8,000,000,000
-8,436,218,679
-BDT 10,000,000,000

15
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

This Bar chart shows that “Net cash flow from investing activities” from 2017 to 2019. Here cash inflows
in only 2017 & cash outflows 2018 & 2019. After 2017 the cash outflow increased gradually.

Net Cash Flow from Financing Activities

BDT 4,500,000,000 4,240,764,998
BDT 4,000,000,000
BDT 3,500,000,000
BDT 3,000,000,000
BDT 2,500,000,000
BDT 2,000,000,000
BDT 1,500,000,000 1,109,210,142
826,594,516
BDT 1,000,000,000
BDT 500,000,000
BDT 0
2,017 2,018 2,019

In the graph cash inflows happened in all years 2017, 2018 & 2019. The highest cash inflow happened in
2018. Among the three activities (operating, investing & financing) only financing activities had cash
inflow in all three years.

Cash Inflows & Outflows

60,000,000,000
49,233,120,535
43,850,066,175
40,755,443,205
40,000,000,000

20,000,000,000

0
2017 2018 2019

-20,000,000,000

-40,000,000,000
-42,083,682,080 -42,434,079,111
-45,607,580,842
-60,000,000,000

It shows the Cash Inflow & outflow of three years.

16
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Cash and Cash Equivalents at end of the year

BDT 24,000,000,000 23,308,525,067

BDT 23,000,000,000
21,551,010,399
BDT 22,000,000,000

BDT 21,000,000,000
19,872,374,495
BDT 20,000,000,000

BDT 19,000,000,000

BDT 18,000,000,000
2017 2018 2019
Year

This graph shows the cash and cash equivalent of the bank from 2017 to 2019. The net amount of cash
and cash equivalent decreased gradually in these three years.

Mean of cash equivalent

BDT 10,000,000,000.00 9820691605
8875942659
BDT 9,000,000,000.00
BDT 8,000,000,000.00
BDT 7,000,000,000.00
BDT 6,000,000,000.00
BDT 5,000,000,000.00
BDT 4,000,000,000.00
BDT 3,000,000,000.00 2300383490
BDT 2,000,000,000.00
BDT 1,000,000,000.00
BDT 0.00
Cash in hand (including Balance with Bangladesh Balance with other bank's
foreign currency) Bank and its agent banks and financial institutions

This graph shows the Mean of Cash Equivalent of the bank from 2017-19.

17
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

6.0 Ratios Analysis

6.1 Liquidity Ratios:

Curre nt Rati os

0.95 1.09 1.13

1

0 0.5 1 1.5 2 2.5 3 3.5

2019 2018 2017

Current Ratio of Jamuna Bank Ltd. has declined from 2017 to 2019. It means in the year 2017 the
condition of the company was better than other two years.

6.2 Profitability Ratio:

Price to Earnings Rati o

8.15 5.6 5.32

1

0 2 4 6 8 10 12 14 16 18 20

Price to earnings ratio 17 Price to earnings ratio 18 Price to earnings ratio 19

18
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

The ratio has decreased from 2017 to 2019 which means their growth expectation decreased and
the company may currently be undervalued.

Return on Equity

0.04 0.05 0.05

1

0 0.02 0.04 0.06 0.08 0.1 0.12 0.14 0.16

Return on equity 17 Return on equity 18 Return on equity 19

As the Return on Equity ratio increased from 2017 to 2019 the common shareholders of Jamuna Bank
were able to earn a high amount from their investment.

19
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Return on Asset

0.01 0.01 0.01

1

0 0.01 0.01 0.02 0.02 0.03 0.03 0.04

Return on asset 17 Return on asset 18 Return on asset 19

Return on Assets for Jamuna Bank was increasing from 2017 to 2019. It is a very good sign for the
company’s reputation. It is also indicate that the company performance is getting better comparing to its
past year.

6.3 Asset Management Ratio:

Total Asset Turnover

0.17 0.02 0.03

1

0 0.05 0.1 0.15 0.2 0.25

Total asset turnover 17 Total asset turnover 18 Total asset turnover 19

It has decreased from 2017 to 2018 which means they weren’t able to generate net interest income
according to their assets. But it has increased in 2019 which is a good indicator for their recovery.

20
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

6.4 Solvency Ratio:

Total Debt to Equity

13.16 11.45 11.77

0 5 10 15 20 25 30 35 40

Total debt to equity 19 Total debt to equity 18 Total debt to equity 17

It has decreased from 2017 to 2018 and increased from 2018 to 2019 which means their shareholder’s
equity has increased and they use debt to finance their growth.

7.0 Conclusion:

After analyzing the three years of financial data of Jamuna Bank Ltd. We came to the conclusion that the
performance of Jamuna Bank is getting better comparable to last few year and is becoming a very
competitive, modern and transparent organization comparable to any kind in the country. Jamuna Bank is
considered as country’s most efficient financial intermediary and it’s believes that its goal is not far away.
By analyzing its financial statement we found that there is gradual increase in its assets, net profit,
investment, shareholder’s equity and other components of the financial statement. However there are
some sections that needed to improve. We hoped that it will hold its reputation in future years and will
able to achieve its expected goals.

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 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

8.0 Appendix:
Jamuna Bank Limited
Balance Sheet

22
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Particulars 2017 2018 2019

PROPERTY AND ASSETS

Cash 11,483,111,668 11,938,919,629 12,941,193,988

Cash in hand (including foreign currencies) 1,837,648,640 2,428,458,584 2,635,043,247
Balance with Bangladesh Bank and its agent banks (including foreign currencies) 9,645,463,029 9,510,461,046 10,306,150,741

Balance with other banks and financial institutions 11,823,779,799 8,560,517,270 6,243,530,908
In Bangladesh 10,902,128,523 7,492,790,094 5,183,219,045
Outside Bangladesh 921,651,276 1,067,727,176 1,060,311,862

Money at call on short notice 1,050,000,000 685,384,700

Investments: 26,061,920,030 31,648,683,494 39,200,606,704

Government 25,684,088,968 27,707,349,026 35,299,272,236
Others 377,831,063 3,901,334,468 3,941,334,468

Loans and advances 142,252,938,595 165,402,850,110 177,278,778,727 1

Loans, Cash Credit, Overdrafts, etc. 134,174,830,062 155,531,769,998 165,784,810,911
Bills purchased & discounted 8,078,108,532 9,871,080,112 11,493,967,817

Fixed Assets including premises, furniture and fixtures 2,509,809,250 2,614,523,116 3,217,467,770

Other assets 2,926,978,720 3,802,723,703 3,361,501,594

Non-Banking assets
Total assets 197,058,538,062 225,018,217,322 242,928,464,391

LIABILITIES AND CAPITAL

Liabilities
Borrowings from other banks, financial institutions and agents 2,095,668,273 4,461,479,087 4,461,479,087

Deposits and other accounts 167,571,330,833 188,034,296,024 202,509,515,613

Current/Al-wadeeah current accounts and other accounts 23,574,272,829 31,329,805,860 31,931,939,746
Bills payable 7,320,014,898 6,372,374,225 7,920,862,611
Savings/Mudaraba savings bank deposits 14,973,379,158 16,214,944,568 18,218,466,326
Fixed/Mudaraba fixed deposits 72,646,951,186 82,865,984,636 86,756,941,218
Bearer certificates of deposit
Short notice deposits 9,792,877,139 8,887,546,237 11,163,537,001
Deposit under special scheme 38,715,364,893 41,548,138,664 45,904,673,171
Foreign currency deposit 548,470,730 815,501,833 613,095,540
Other liabilities 6,958,168,126 7,573,985,457 9,596,883,111
Subordinated Debt 5,000,000,000 9,600,000,000 9,200,000,000
Total liabilities 181,625,167,233 206,944,714,753 225,767,877,811

Capital / shareholders' equity

Paid up capital 6,141,193,860 7,492,256,500 7,492,256,500
Statutory reserve 4,697,568,094 5,441,006,600 6,396,987,131
Other reserve 3,239,487,133 3,562,924,839 1,540,610,160
Retained earnings 1,355,121,743 1,577,314,629 1,730,732,789
Total shareholders' equity 15,433,370,829 18,073,502,568 17,160,586,579
Total liabilities and shareholders' equity 197,058,538,062 225,018,217,322 242,928,464,391

Jamuna Bank Limited

Profit and Loss Statement

23
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Particulars 2017 2018 2019

Interest income/profit on investment 11,424,651,068 14,993,702,297 17,825,528,278
Less: Interest/profit paid on deposits and borrowings, et 7,625,479,385 9,656,432,357 11,391,965,439
Net interest income 3,799,171,684 5,337,269,940 6,433,562,839
Investment income 2,615,201,460 1,836,381,200 2,322,399,780
Commission, exchange and brokerage 1,800,940,490 1,883,457,267 2,002,286,621
Other operating income 570,683,893 760,674,949 681,278,255
Total operating income (A) 8,785,997,526 9,817,783,355 11,439,527,495
Salary and allowances 2,703,870,717 3,071,370,299 3,318,046,827
Rent, Taxes, Insurance, Electricity, etc. 610,714,463 739,040,786 757,655,530
Legal expenses 7,915,148 10,180,231 13,523,071
Postage, Stamps, Telecommunication, etc. 93,352,921 110,085,372 97,867,545
Stationery, Printings, Advertisements, etc. 136,872,698 191,646,755 216,904,630
Managing Director's salary & fees 15,080,000 15,080,000 14,879,464
Directors' fees 8,079,036 5,977,748 7,029,154
Auditors' fees 690,000 690,000 690,000
Charges on loan losses 237,836,964 270,439,226 308,946,104
Depreciation and repairs of bank's assets 636,175,083 774,259,732 862,140,484
Other expenses 4,450,587,029 5,188,770,148 5,597,682,809
Total operating Expenses (B) 4,335,410,497 4,629,013,207 5,841,844,686
Net Profit/(loss) before taxation & provisions (C=A-B) 691,172,090 1,050,869,249 5,841,844,686
Provision for loans and advances 125,797,147 -52,027,000 1,033,004,440
Provision for off balance sheet exposures 60,788,071 3,004,736 6,419,000
Others provision -38,701,925 21,489,469 4,091,052
Provision for diminution in value of investments 839,055,383 1,023,336,454 18,427,541
Total provision (D) 3,496,355,115 3,605,676,754 1,061,942,033
Total profit before taxes (C-D) 104,890,653 1,315,348,386 4,779,902,653
Provision for taxation for the year 1,349,578,080 -26,365,665 2,167,397,206
Current tax 20,872,164 1,288,982,721 4,655,456
Deferred tax 1,370,450,244 2,316,694,033 2,172,052,662
Net profit after taxation Attributable to: 2,021,014,217 743,438,506 955,980,531
Retained surplus during the year 699,271,023 1,573,255,527 1,651,869,460
Earnings per share (EPS) 3.29 3.09 3.48

Jamuna Bank Limited

Cash Flow Statement

24
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

Cash flows from operating activities 2017 2018 2019

Interest receipts 11,447,854,630 14,994,039,336 17,823,141,869
Interest payments -7,302,983,504 -9,150,174,445 -10,997,269,962
Dividend receipts 82,247,788 3,736,652 12,860,249
Income received from investments 2,581,824,006 1,657,568,292 2,474,241,478
Fee and commission receipts 1,800,940,490 1,883,457,267 2,002,286,621
Recoveries on loans previously written off 94,617,278 275,839,504 151,153,344
Payments to employees -2,718,950,717 -3,086,450,299 -3,332,926,291
Payments to suppliers -219,809,376 -416,852,516 -429,604,357
Income taxes paid -1,317,211,631 -1,317,282,489 -1,359,992,221
Receipts from other operating activities 476,066,615 478,717,849 529,602,166
Payments for other operating activities -1,306,452,806 -1,327,836,702 -1,404,755,162
(i) Operating profit before changes in operating assets and liabilities 3,618,142,772 3,994,762,447 5,468,737,736

Increase/Decrease in operating assets & liabilities

Loans and advances -25,153,330,167 -23,149,911,516 -11,875,928,617

Other assets -188,581,471 -701,005,767 278,906,570
Deposit from other banks 10,891,007,439 3,985,325,000 -637,680,980
Deposit from customers 14,806,871,136 15,971,382,275 14,718,205,092
Other current liabilities -1,507,548,281 -167,297,419 -2,021,251,542

(ii) Cash received from operating assets and liabilities -1,151,581,344 -4,061,507,426 462,250,523

Net cash flow from operating activities (A)=(i+ii) 2,466,561,428 -66,744,978 5,930,988,259

Cash flows from investing activities

Proceeds from sale/(purchase) of Govt. securities 3,951,722,212 -2,023,320,158 -7,591,231,811
Proceed/ (Payments) for purchase of securities 99,968,941 -3,563,503,405 40,000,000
Purchase of property, plant & equipment -478,024,269 -344,711,124 -884,986,868
Net cash flow from investing activities (B) 3,573,666,884 -5,931,534,688 -8,436,218,679

Cash flows from financing activities

Increase/ (Decrease) of long term borrowings -631,845,117 -359,235,002 2,725,045,816

Dividend paid -1,258,944,741 -1,498,451,300
Issue of subordinated bond 3,000,000,000 4,600,000,000 -400,000,000
Net cash flow from financing activities (C) 1,109,210,142 4,240,764,998 826,594,516

Net Increase/ Decrease in cash and cash equivalents D= (A+B+C) 7,143,892,137 -1,757,514,668 -1,678,635,904

Cash and Cash Equivalents at beginning of the year € 16,164,632,930 23,308,525,067 21,551,010,399

Cash and cash equivalents at end of the year (D+E) (*) 23308525067 21,551,010,399 19,872,374,495

(*) Closing cash & cash equivalent

2017 2018 2019
Cash in hand (including foreign currency) 1,837,648,639 2,428,458,584 2,635,043,247
Balance with Bangladesh Bank and its agent banks 9,645,463,028 9,510,461,046 10,306,150,741
Balance with other bank's and financial institutions 11,823,779,799 8,560,517,270 6,243,530,908
Money at call on short notice 1,050,000,000 685,384,700
Prize bond in hand 1,633,600 1,573,500 2,264,900

23,308,525,067 21,551,010,399 19,872,374,495

Ratios:

2019 2018 2017

current asset
Current ratio =
current liability

25
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

161729405512 0.948
(a)
170449060396
1.093
130437956698
(b) 1.128
119256667323

113997227378
(c)
101021527258

Total debt to equity= 13.156

total liabilities
shareholder equity
11.450
225,767,877,811
(a)
17,160,586,579
11.768
206,944,714,753
(b)
18,073,502,568

181,625,167,233 0.054
(C)
15,433,370,829

Return on equity= 0.048

net income
average shareholders equity 0.041

2,607,849,991
(a)
48206773180

2,316,694,033 0.405
(b)
48206773180

2,021,014,217 0.434
(c)
48206773180
0.531
Net profit margin=
net income
Net Interest income

2,607,849,991
(a)
6,433,562,839

2,316,694,033
(b)
5,337,269,940
0.012

26
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

2,021,014,217 0.010
(c)
3,799,171,684
0.009

net income
Return on asset = 0.029
average total asset

2,607,849,991
(a) 0.024
221668406591.66

2,316,694,033 0.171
(b)
221668406591.66

2,021,014,217
(C)
221668406591.66

Total asset turnover=

Net Interest Income
5.32
average total asset 5.60
6433562839
(a)
221668406591.66 8.15

5337269940
(b)
221668406591.66

3799171684
(c )
221668406591.66

Price to earnings ratio=

market price per share
earnings per share

18.50
1.
3.48

17.60
2.
3.09

27
 FINANCIAL STATEMENT ANALYSIS OF JAMUNA BANK LTD.

22.00
3.
2.70

9.0 Reference:

 Annual Report 2017, Jamuna Bank Ltd.,

Annual Report 2018, Jamuna Bank Ltd.,
Annual Report 2019, Jamuna Bank Ltd.
 https://lankabd.com/Company/Search?
searchText=JAMUNABANK&cn=Jamuna_Bank_Limited_(JAMUNABANK)

https://jamunabankbd.com

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