A Study on Financial Performance of PNB Using Ratio Analysis for 5 Years.

Deepti Bhatia; Meghna Jain

Abstract

The term Ratio Analysis is basically defined as the tool which helps in analyzing the financial statements of different companies. It is term as the relationship between the two variables. As company financial decisions regarding the investments, distribution of returns with reference to its profits earned can be easily taken after analyzing its profitability, solvency positions and company can compare with the past financial statements as well. The financial reports can be easily prepared according to the data available regarding the financial position of companies. The actual position of its assets liabilities expenses incomes profits can be judged with the help of financial statements. This paper's primary goal is to use ratio analysis to examine the bank's overall financial situation. It displays whether the company has gotten better or worse over the previous few years. The secondary data is utilized for the full research, which includes the PNB annual reports for the previous 5 years. Ratio analysis serves as a foundation for comparisons inside and across firms. The purpose of the visual representations is to improve comprehension. For many stakeholders, including management, financiers, shareholders, and creditors, among others, ratios are a helpful tool. This study examines a variety of ratio categories, including as liquidity, profitability, and solvency and debt coverage ratios.