Faisal Bank

Title page
(a):
Name of organization:
(b):
Name of internee:
Faysal bank limited
Shoaib hussan
2. Dedication
I would like to dedicate this internship report to my family who have always support me
throughout in my academic career. And give possibility for my dream to come true.
ii
3. Acknowledgement
Although only my name appear on the cover but this work was done with the invisible
guidance of ALLAH. I am thankful to ALLAH for giving me analytical approach &
skill to construct the underlying internship report.
Along with my efforts was a collaborative effort of seniors.
4. Executive summary
I completed my internship report under different parts. Firstly the introduction, history of
Faysal bank limited, describe about offered product lines, explain all departments where I
complete my internship program and complete different tasks.
I made the complete ratio analysis and trend analysis for three years from 2013 to 2015. I
suggest some recommendations in the last part of internship report on the base of
financial ratios. Faysal bank limited has positive working capital in all the three years.
References and sources used are also described in last. Scanned copies of all financial
statements used for financial analysis provided in Annexes.
5. Table of contents
1. Title page..........................................................................................................................i
2 Dedication........................................................................................................................iv
3. Acknowledgement...........................................................................................................1
4. Executive summary.........................................................................................................2
5.Brief introduction of the Organizations Business Sector................................................4
9Overview of the organization............................................................................................5
(a) Brief history...............................................................................................................5
(b) Organizational Hierarchy chart..................................................................................6
(c) Business volume.........................................................................................................7
(d) Product lines...............................................................................................................8
e. Competitors:...............................................................................................................11
f. Brief Introduction of all the Departments...................................................................11
g. Comments on the organizational structure................................................................13
10. Plan of Internship Program:.........................................................................................14
a. A brief introduction of the branch (FBL) Where I did my Internship:......................14
b. Starting and Ending dates of my Internship:.............................................................14
c. Names of Departments in which I got training:.........................................................14
11. Training Program:........................................................................................................15
Detailed description of the tasks assigned by me:.................................................15
12. Ratio analysis:..............................................................................................................20
a). Liquidity ratios:........................................................................................................20
b) Leverage Ratios:........................................................................................................25
c) Profitability Ratios:....................................................................................................33
d) Activity Ratios:..........................................................................................................45
e) Market Ratios:...........................................................................................................47
(1). Trend Analysis:.......................................................................................................52
(13). Future Prospects of FBL...........................................................................................55
14. Conclusion...................................................................................................................56
15. Recommendations for Improvement...........................................................................57
16. Reference & Sources used..........................................................................................58
17. Annexes:......................................................................................................................59
8. Brief introduction of the Organizations Business Sector

Faysal Bank limited incorporated in Pakistan on October3, 1994 as a public limited
company under companies ordinance 1984. Its shares are listed on Karachi, Lahore and
Islamabad stock exchanges. The Bank is engaged in commercial, consumer, and
corporate banking activities. Faysal Bank limited incorporated with authorized share
capital Rs.1.5 billion and 129 branches offices with 2 service centers. It provides services
to its customers in Pakistan four provinces. Under Barkat Islamic brand it provides
Islamic banking services in Pakistan. After its incorporation in Pakistan it progress
rapidly and thus become largest reliable banking service provider. Currently Faysal Bank
limited paid up capital is Rs.62.3 billion.
In 1st Jan 2002, the two entities of the group in Pakistan. Faysal Bank Limited & AL
Faysal Investment Bank Limited merged into one & today only Faysal Bank Limited
remains as a larger, stronger & much more versatile institution amongst private banks in
the Pakistan. In fact it is amongst the three largest I terms of equity which after the
mergers stands at over Rs. 4.0 billions. The total balance sheet size of FBL after the
merger is in excess of Rs. 40 billions.
Faysal bank limited play important role in Pakistan for growth of cricket by organizing
National Twenty 20 cup on October 10th at Gadaffi stadium in Lahore. Also annual report
of FBL for the year 2003 won the third prize in The Best Corporate Report contest in
the service sector, a competition jointly instituted by the institute of Chartered
Accountants of Pakistan & Institute of Cost & management of Pakistan. Faysal Bank
limited is a commercial bank which provides customers and client services. Its effective
market research and modern information technology help him in reaching its consumers
in no time. Also timely recovery of loan and efficient credit system facilitate its rapid
growth.
9. Overview of the organization

(a) Brief history
Faysal Bank limited incorporated year1984 in Pakistan. Syed Naseem Ahmad is chairman
of this bank. Faysal bank limited with approval of State Bank of Pakistan (SBP) take over
99.37 percent shares of Royal Bank of Scotland (RBS) Pakistan. The RBS Pakistan
recently announce finalization of agreement with Faysal Bank limited for the sale of
99.37 percent shares holdings for Rs.4.298 billion, with approval from State Bank of
Pakistan. Faysal Bank buys RBS Pakistan for 41m ($51m).
Faysal Bank limited deposits in year 2013 are Rs. 74.7 billion, advances amounted to Rs.
62.3 billion; assets totaled Rs.110.3 billion.
(b) Organizational Hierarchy chart

PRESIDTNT
SENIOR EXECUTIVE
VICE PRISEDENT
EXECUTIVE VICE
PRESIDENT
SENIOR VICE
PRESIDENT
VICE PRESIDENT
ASSISTANT VICE
PRESIDENT
OFFICERS GRADE I, II, III
CLERKS
PEONS
(c) Business volume
Categories
of No.
Shareholders
Individuals
Investment
of
Holders
12702
7
Share Shares Held
Percentage %
48,567,659
182,586
6.64
0.02
Companies
Joint
Stock 116
2,545,253
0.35
Companies
Directors,
Chief 7
31,742
0.00
134,798
12,866,804
489,288,181
0.02
1.76
66.94
0.00
51,456,072
7.04
Executives
and
their Spouse and

Minor Children
Executives
NIT / ICP
Associated
8
6
9
Companies,
Undertakings
and
related Parties
Public
Sector 0
Companies
and
Corporations
Banks,
DFIs, 34
NBFIs,
Insurance
Companies
Modarabas
and
Mutual Funds
Financial
11
7,543,004
1.03
Institutions
Leasing Companies
Insurance
2
10
367
43,573,854
0.00
5.96
Companies
Modarabas
Mutual Funds
Foreign Investors
5
6
39
13,213
325,634
124,984,701
0.00
0.04
17.10
Co-operative
Societies
Charitable Trusts
7
Others
11
Total Outstanding 12947
861
0.00
670,104
180,611
730,909,372
0.09
0.02
100.00
Shares
(d) Product lines

1. Faysal Sahulat Current Account:
It allows you to access to your account in any Faysal Bank branch without any limitation.
Faysal Sahulat Features and Benefits:
Minimum balance is required Rs.5000/ On maintaining monthly average balance of Rs.500000/- offer following
services free of charge:
Chequebook (up to 100 leaves per year)
Pay orders (up to 50 per year)
Monthly account statement
You can access you account through ATM/ Debit Card also
Example of Faysal Bank Sahulat Current account number 02280060001234
2. Faysal Savings Account:
Faysal Savings account addresses your basic banking needs. It allows you to get profit on
your savings.
Faysal Savings Features and Benefits:

Minimum balance of Rs.10000/ is required
Profit is calculated on the monthly minimum balance
Profit is paid semi-annually
Un-limited transactions can be made during a month
Example of Faysal Savings account number 02281500001234
3 Faysal Izafa Term Deposit:
Faysal Izafa term deposit account allows you to receive profit on monthly, semi-annually,
quarterly, or annual basis.
Faysal Izafa Features and benefits:
Minimum investment of Rs.25000/ is required
Flexible tenure options ranging from 1,3 and 6 months and 1,2,3,4, and 5 years
Allows you to select option of your own choice for receiving profit
This account free from any account maintenance charges
4 Faysal Anchor Savings Account:
This account is designed for those customers who want monthly profits on their account.
Features:
Minimum balance required is Rs.20000/
Profit is calculated on monthly minimum balance
Un-limited transactions can be made during a month
Profit paid on monthly basis
Consumer lending
Faysal Home finance:
Faysal home finance allows you to get you own home, away from financial worries.
Buying you new Home:
Easy facility for re-payment of loan
Maximum financing available up to 70% of market value of property
Amount payable in between 3years to 20years
Amount payable in monthly installments
9
Building of Home:
Financing available is up to 70% value of land plus construction
Amount payable in between 1year to 20years
Repayment of amount in monthly installments
Faysal Car Finance:
Due to Faysal Car Finance now it is easy to be in the driver seat. It also involves
insurance from reputable insurance company in Pakistan.
Eligibility:
For salaried individuals your age should be between 21 and 60years
For Businessmen: You should be aged between 21 and 65years
Incase you are salaried, or businessmen you have work experience or
employment history of at least 2years
Minimum net income is Rs.30000/ per month
Services:
Faysal Bank Limited provides services are listed bellow:
Utility services
Retail services
Value Added services
Payment with Faysal Bank, Micronet Broadband DSL Services
Specialized services to priority customers
Now I want to explain some more Faysal Bank services.
Demand Drafts:
Faysal Bank Limited provides demand draft service to its account holders and non
account holders. For example is any Faysal Bank account holder wants to make any other
organization or department then Faysal Bank limited help him in this regard by creating
demand draft for certain amount. On amount of Rs.10 to 100000 it charge Rs.150 from
10
account holder of Faysal Bank Limited. But for non-account holders it charge Rs.800 for
Demand Draft.
PocketMate (Debit Card):
Faysal bank provides easy way to carry cash in form of PocketMate service. Faysal
pocketmate provides you the freedom of world wide acceptability at over 29 million
points of sale terminals.
Faysal Instant SMS Alerts:
This service provides Instant SMS Alert information about your account when some
transaction made with help of Visa Debit Card or your account locally and globally. It
provides information on cash deposits and withdrawals, bill payment, cheque clearing
and also on Zakat deductions.
e. Competitors:
Allied Bank Limited
National Bank of Pakistan
Muslim Commercial Bank
Bank Alfalah Limited
AL-Habib Bank Limited
Askari Commercial Bank
United Bank Limited
Habib Bank Limited
Meezan Bank Limited
Standard Chartered Bank Pakistan
JS Bank
Soneri Bank
f. Brief Introduction of all the Departments

Account Opening department:
11
This department is responsible for account opening of its customers. During my

internship in Faysal Bank Limited I observed the general procedure of account opening
which I like to discuss here.
1. Customer relationship Form:
This form helps customer in facilitating account opening in Bank. Customer furnishes
his information regarding name, occupation, address and many other personal
information.
2. Requirements for opening of Account:
Many things involve in this step for account opening I like to mentions here some
requirement which is crucial.
Copy of C.N.I.C attested
Specimen signature card
Source of income
Operations Department:
I observed this department in Faysal Bank Limited during my internship period and
Operations manager of this FBL is Mr. Shafique. This department manages all
departments of Bank. Operations manager is responsible for Cash department,
remittances department, and clearing department work.
Remittance Department:
In this department funds transfer from one Bank branch to another same branch. This is
valuable and important service of the Faysal Bank Limited which it provides to its
customers.
Remittances Types:
Demand Draft:
This service is providing by Faysal Bank Limited in which some certain amount is
transferred to other same branch of the Bank. In this service Bank charge some amount
for delivering service to its clients. Some organizations or companies demand for this
order to pay.
12
Telegraphic Transfer:
This tremendous service is provided by FBL to its client facilitating in transferring
amount from one city to other or other country in no time. The remittances take place
through telegram, telex and some times the message is also conveyed on telephone. TT is
used to remit money outside the city.
Payment Order:
It allows you to transfer fund from one Faysal Bank branch to other same city branch of
FBL or to any 1-link member bank account using your Faysal Pocketmate.
Enjoy
transfer of fund with limit of Rs.250000/ daily.

Cash Department:
This department is the backbone of Bank. In this department all receipts and payments of
cash is made. This department for receipts and payments prepare books of account and
ledgers and many other cash sheets.
All bank business is wholly depends on cash and without it becomes impossible to
sustain in this competitive environment. It also deals with collection of utility bills.
Credit Department:
Faysal bank credit department provides financing assistance to commercial, industrial
sectors. Faysal bank also provides assistance to agriculture sector in order to meet
incurred expensed of farmers. Attractive low interest rate is charged on lending by bank.
Interest is charged on the whole amount of a loan. Different documents are required vary
according to financing applicant. Faysal bank also provides consumer financing to its
clients. It extends both short and long term financing facilities designed to fulfill the
individual need of each corporate customers.
13
g. Comments on the organizational structure

In Faysal Bank Limited flow of power and designations is well organized and processed
in structural way by fulfills the requirements of the organization. Structure of FBL
according to my observation fulfills the requirements of the organization.
10. Plan of Internship Program:

a. A brief introduction of the branch (FBL) Where I did my Internship:
Faysal Bank Limited branch is only one main branch in District multan.
Faysal Bank Limited is located in the city most commercial area and competitive place
where others bank situated. so due to all these Bank in one main city area it creates highly
competitive environment among all of these. I observed during my internship in Faysakl
Bank Limited that many Government and also Semi-Government institutions like training
institutions, technical training institutions, and colleges have account in this Bank.
An advantage of Faysal Bank Limited location is that many city busy shops, departmental
stores are located in that place. So, due to this priority for Faysal Bank Limited mostly
owners of these businesses have their customer relations with Faysal Bank. In the said
branch there are 7 staff members. All employees of this bank have friendly relations and
good environment which facilitate customers in impressive way. Branch Manager Mr.
Rana Ather Khan has very impressive personality and good co-operative behavior.
c. Names of Departments in which I got training:

During my internship in Faysal Bank Limited I got training in following departments
listed below:
Deposit Department
Bills clearing Department
Remittance Department
Credit Department
14
Duration of Internship Program:

My internship duration was 6 weeks.
11. Training Program:
Detailed description of the tasks assigned by me:
During my internship program in Faysal Bank Limited branch I worked in deposit,
remittance, bills clearing and credit department. And I successfully completed all tasks
that were assigned to me. There are 6 departments in the branch and I worked as internee
in that branch during my internship period. I performed the following different tasks:
First of all I Filled deposit slips and cheques of many bank customers and I also filled
customer relationship formI provided details and guidance to new customers.I also got
verification from NADRA about newly come customers.I informed customers about
essential conditions which helpful them in smooth operating of their account.
I fill letter of Thanks in order to welcome new account holders sent by Faysal bank
limited.In manual work I assign account numbers of new Faysal bank customers
Now I would like to discuss many other tasks which I fulfilled during my internship
in FBL.
Describe in detail duties and task assigned to you and how you accomplish them.
Not just bullets or list of the activities performed by you.
Account opening:
In account opening department I spent two weeks of my internship program. During my
internship I opened new accounts of customers concerning current, savings, or term
deposits. I fill Customer Relationship Form (CRF) of Faysal bank limited.
When a customer comes to open his account, he has to fill a relationship contract
with the bank. As part of my internship I had to fill these forms and then use the
appropriate bank stamps to complete these forms. Also as part of the relationship form, I
also had to do a Verisys, a verification system started by NADRA on the CNIC of the
new account opener. A Verisys tells, if more information pertaining to the customer is
needed to open the account or not.
a. Individual accounts requirement (documents):
15
Copy of CNIC
For business individuals copy of NTN certificates
Proof of employment
Passport size photograph
Left and right thumb impressions (for illiterate person)
b. Partnership (documents required):
Copy of partnership deed
CNIN copy of partners
Copy of NTN (where available)
Attested copy of registration certificates with registrar of firms
Any other (if required)
c. Public / Private Limited Company:
Copy of certificate of incorporation
Memorandum and articles of association
List of directors on prescribed format
Copies of CNIC of all directors
Copy of board resolution (if required)
Certificate of commencement of business
d. Club / Society Association:
Faysal Bank Limited also provides services for account opening of clubs/ society/ or
associates. Documents which required for account opening are provided below:
Certificate of registration
Certified copy of resolution of the governing body for opening the account
Authorized person(s) to operate the account
Copy of CNIC of authorized persons
16
Undertaking signed by all authorized persons mentioning intimation to the bank

in case of change of authorized persons operating the account
Credit department (FBL):
During my internship program in Faysal bank limited I also come to know about credit
department. Faysal bank provides financing assistance to different sectors. It provides
loans to following sectors:
Agriculture sector
Industrial financing
Consumer lending
Faysal khushaal Kisan Scheme:
Agricultural loan provides to farmers. Loan amount can be used for crops or used for
repair of machinery used in crops for agricultural purposes. E.g. Loan for purchase of
seeds, Repair of tractor use in crops, betterment of irrigation, repair of tube well etc.
Faysal bank provides special products for agricultural sectors.
Production loans to meet cost of seeds, pesticides, storage, labor, and for others working
capital requirements.
Development purposes it provides for machinery used in farms, irrigations betterment,
meet cost of Godowns, and for land improvement.
Documents required:
Two recent passport size photos along with application form, copy of
computerized CNIC
Guarantors (where applicable)
Updated Zari Pass book or title documents of other properties offered as security
along with valuation certificate and other relevant documents on case to case basis
Consumer financing (Personal finance):
Faysal bank limited also provides lending for freedom from worries. Lower charges levy
on borrower by bank. Bank provides easy and affordable schedule for repayment of loan.
Documents required:
17
Computerized identity card of applicant

Source of income
Proof of employment (In case of salaried person)
Email address (if any)
SME Financing (Small & Medium Enterprise Financing):
SME unit of the bank geared towards catering to banking requirements of small to
medium businesses in timely and cost effective manner. Faysal bank limited equipped to
increase customers strength by providing bakers and financial advisor and services.
Cheque Book issuance:
Bank issued cheque book only account holders of the bank. Cheque book issued by bank
to its customers only when two conditions are fulfilled which are:
At the times of opening new account
When existing account holder have no cheque in his cheque book to issue for payment
Many steps for issuance of cheque book are provided below:
When customer need for new cheque book it only issued when he filled
Requisition form provided by bank
Cheque book contains leaves which are 25, 50, or 100 as required by customer in CRM
fill form.
Minimum charges for issuing of cheque book which I observed during my
internship
program in faysal bank are Rs.125/.

In the last cheque book issued only when branch manager gives his assent in this regard
after verifying all information provided by customer
I like to explain briefly about post dated cheque and out dated cheque which presented in
Faysal bank limited during my internship.
Post dated cheque:
These are cheques on which upcoming future date is written. And its payment is only
made on that coming date before due that it cannot en-cash from bank.
If Akram present cheque in bank on 1st March 2011, but date mentioned on cheque is 15th
April. It is post dated cheque.
18
Outdated cheque:
Outdated cheques are those on which past date is written. It can be clear from bank up to
6 months. Date mention on the cheque earlier than on which date it presented in the bank
for payment is called outdated cheque.
Clearing department:
I worked in the clearing department of the Faysal bank limited for 8 days. Main branch
receives the cheques from all of its branches and makes the lots of these cheques again.
All banks representative together on National Bank of Pakistan. Where they present
drawn cheques on different branches and receive their own cheques from them. Record is
maintained in National bank of Pakistan. Then main branch sends these cheques to their
relevant branches where the validity of these cheques is verified and the accounts of the
relevant clients are affected.
I worked under kind supervision of Mr. Asif. He helped me about clearing work. And I
come to know about different types of clearing:
Outward clearing
Inward clearing
Online clearing
Outward clearing:
In outward clearing cheques of other banks are presented in Faysal Bank by its customer
for clearing.
Inward clearing:
In Inward clearing cheques of our bank (FBL) is presented in other
bank and it is received by the Faysal Bank Limited through NIFT (National institutional
facilitation technologies) for clearing.
Online clearing:
In online clearing cheques presented in any branch of the bank for
clearing purposes made through online. I did not have the opportunity for details because
online departments work is a sensitive area and electronic based.
Some Miscellaneous work:
19
In addition to these work I did some various tasks which

assign me during my internship period. I got some knowledge about software of the bank
named Symbol. I also learned how to post utility bills in the computer. I knew about the
current balance of account holder when inquired. I knew about Stamps which used in
documentation work. I also filled Demand draft and also got knowledge about online
work.
I also opened new accounts of the customers. After opening the newly accounts I took
customer signature on Specimen signature card. I also got knowledge about how to
opened account of Illiterate person accompanying two recent passport size photos and
also signs of left used instead of signature
I also filled requisition form for customer when he request for issuance of new cheque
book and also filled Customer Relation Form when he want service of ATM Card.
I also filled form when account holder needs Alert SMS service provided by Faysal Bank
Limited.I knew about that account holders can transact online through Faysal Bank
Limited without any charges.
12. Ratio analysis:
a). Liquidity ratios:
Liquidity ratios help in assessing the firms ability to meet its short
term obligations. Current assets include following listed below:
(1). Marketable securities
(2). Cash
(3). Accounts receivable
(4). Prepaid expenses
(5). Inventories
Current liabilities which considers in calculation are listed below:
(1). Accounts payable
(2). Accrued expenses
(3). Short term notes payable
(4). Taxes payable
20
(5). Current portion of LTD

12. Ratio analysis:
a). Liquidity ratios:
Liquidity ratios help in assessing the firms ability to meet its short
term obligations. Current assets include following listed below:
(1). Marketable securities
(2). Cash
(3). Accounts receivable
(4). Prepaid expenses
(5). Inventories
Current liabilities which considers in calculation are listed below:
(1). Accounts payable
(2). Accrued expenses
(3). Short term notes payable
(4). Taxes payable
(5). Current portion of LTD
For year 2014 (Rupees in 000):
Current ratio = Current Assets / Current Liabilities recalculate
= 132,610,662 / 117,340,778
= 1.13:1
For the segregation of current and long term Assets/Liabilities, use the table of
Maturities of Assets and Liabilities given in the Notes financial statements of the
bank under the heading Liquidity Risk to identify the current and long-term
portion in assets and liabilities.
You are required to add the items specifying maturity of less than 1 year that will be
treated as current and add all the items specifying the maturity of greater than 1
year that will be treated as non-current or long-term items.
Current Assets = Cash and balances with treasury banks + Balances with other banks
21
+ lending to financial institutions + investments + advances

= 8927524 + 876780 + 2861401 + 30186168 + 89758789
= 132,610,662
Current liabilities = Bills payable + Borrowings from financial institutions
+ Deposits and other accounts
= 1536517 + 13027468 + 102776793
= 117,340,778
Current ratio = Current Assets / Current Liabilities
=171,831,162 / 160,106,405
= 1.07:1
= 8427202 + 508795 + 15017826 + 56531338 + 91346001
= 171,831,162
Current liabilities = Bills payable + Borrowings + Deposits and other accounts
= 1465451 + 34985766 + 123655188
= 160,106,405
Current ratio = Current Assets / Current Liabilities
= 243,282,151 / 233,169,967
= 1.04:1
= 17428924 + 5727909 + - + 86418549 + 133706769
= 243,282,151
Current liabilities = Bills payable + Borrowings + Deposits and other accounts
= 3218859 + 34635904 + 195315204
= 233,169,967
22
(Rupees in 000)
Current ratio
Current Assets / Current Liabilities
Year 2012
Year 2013
132,610,662 / 117,340,778
171,831,162 / 160,106,405
Year 2014
243,282,151 / 233,169,967
= 1.13
= 1.04
= 1.07
Interpretation:
Standard for current ratio is 2:1. During three years ratio not meet standard requirement
and gives unsatisfactory result.
Acid Test Ratio:
For year 2013: Liquid assets = current assets inventory prepayments
Acid Test Ratio = Liquid or Quick assets /current liabilities
= 12,665,705 / 117,340,778
= 0.10:1
Liquid assets = Current assets investments advances
= 132,610,662 - 30,186,168 - 89,758,789
= 12,665,705
For year 2012:
= 23,953,823 / 160,106,405
= 0.14:1
= 171,831,162 - 56,531,338 - 91,346,001
= 23,953,823
For year 2013:
= 23,156,833 / 233,169,967
= 0.09:1
23

= 243,282,151 86,418,549 133,706,769
=23,156,833
Acid Test Ratio recalculate
Liquid or Quick assets /Current liabilities
Year 2012
12,665,705 / 117,340,778
Year 2013
23,953,823 / 160,106,405
Year 2014
23,156,833 / 233,169,967
= 0.10
= 0.14
= 0.09
Interpretation:
1:1 is standard ratio for Acid Test Ratio. And during all three years 2011, 2012, 2013
Acid Test Ratio is unsatisfactory and below from standard ratio 1:1.
Working capital:
For year 2011:
Working Capital = Current Assets Current Liabilities recalculate
= 132,610,662 - 117,340,778
= 15,269,884
For year 2012:
Working Capital = Current Assets Current Liabilities
= 171,831,162 - 160,106,405
= 11,724,757
For year 2013:
Working Capital = Current Assets Current Liabilities
= 243,282,151 - 233,169,967
= 10,112,184
Working Capital
Current Assets Current Liabilities
24
Year 2012
132,610,662 - 117,340,778
= 15,269,884
Year 2013
171,831,162 - 160,106,405
= 11,724,757
Year 2014
243,282,151 - 233,169,967
= 10,112,184
Interpretation:
Working capital provides measure of company efficiency and its short term financial
condition. During years 2012, 2013, and 2014 Faysal Bank working capital provides
positive working capital which means that it able to meet its short term obligations.
b) Leverage Ratios:
Leverage means operating a business with borrowed money. It shows the extent of long
term debt financing. It includes interest payments, equity and debt.
Times interest Earned:
write down the unit of measurement with each
ratio
For year 2012:
Times Interest Earned ratio = EBIT / Interest charges
= -3,152,840 / 8,454,755
= -0.37
EBIT for year 2013
= (3,152,840)
For year 2013:

= -3,689,489 / 11,967,885
= -0.30
EBIT year 2014:
Earning before interest and tax
= (3,689,489)
For year 2011:

= -4,964,150 / 13,919,256
25
= -0.35
EBIT year 2014:
Earning before interest and tax
= (4,964,150)
EBIT / Interest charges

Earnings/Profit before interest and Tax = Profit before tax + Interest expense
Interest charges + Mark up/Interest expense
Year 2011
-3,152,840 / 8,454,755
Year 2012
-3,689,489 / 11,967,885
Year 2013
-4,964,150 / 13,919,256
= -0.37v
= -0.30
= -0.35
Interpretation:
During three year EBIT ratio shows negative figure -0.37, -0.30, and -0.35. Faysal Bank
has paid interest charges due to including of debt in its capital structure.
Debt Ratio:
Debt ratio measures percentage of creditor funds. Low ratio indicates low risk for Bank
but high leverage ratio indicates risk.
Year 2008:
Debt ratio = Total debt / Total assets
= 127,469,378 / 138,241,486
= 0.92
Total debt = Current liabilities + Long- term debt
= 117,340,778 + 10,128,600
= 127,469,378
Total assets = Current assets + Fixed assets
= 132,610,662 + 5,630,824
= 138,241,486
26
Year 2009:
= 168,082,674 / 180,865,413
= 0.92
= 160,106,405 + 7,976,269
= 168,082,674
= 171,831,162 + 9,034,251
= 180,865,413
Year 2010:
= 250,803,153 / 267,320,923
= 0.93
= 233,169,967 + 17,633,186
= 250,803,153
= 243,282,151 + 24,038,772
= 267,320,923
Total debt / Total assets
Year 2008
127,469,378 / 138,241,486
Year 2009
168,082,674 / 180,865,413
Year 2010
250,803,153 / 267,320,923
= 0.92
= 0.92
= 0.93
Interpretation:
In total debt ratio it comes to know that Faysal Bank limited debt increased little in year
20102from 0.92 to 0.93.
27
Weak interpretation, it is not enough to write the increasing/decreasing trend. You

have to also answer that what are the reasons? What are the effects of this increase/
decrease?
Debt / Equity Ratio:
This ratio provides measure of the capital structure of the Bank. Funds comes from two
ways namely (01) Equity (02) Debt. High debt or excess of it over equity shows less
equity funding and more creditors funding and carry regular interest payments on debt.
Year 2012:
Debt / Equity Ratio = Total Debt / Total Equity
=127, 46939 / 10,135,988
= 1.25
Debt = Long term debt + Current liabilities
= 10,128,600+ 117, 340,778
= 127, 46939
Total Equity = Share capital + Reserves + Unappropriated profit
= 5,296,445 + 3,790,023 + 1, 049, 520
= 10,135,988
Year 2013:
= 168, 082, 68 / 11,336,146
= 1.48

= 7,976,269 + 160,106,405
= 168, 082, 68
Total Equity = Share capital + Reserves + Unappropriated profit
= 6,090,911 + 4,030,056 + 1,215,179
= 11,336,146
Year 2014:
28

= 250, 80317 / 16,614,625
= 1.51
= 17,633,186 + 233, 169, 967
= 250, 80317
Total Equity = Share capital + Reserves + Unappropriated profit +proposed shares on
amalgamation
= 7,309,094 + 7,354,688 + 1,950,843
= 16,614,625
Debt / Equity Ratio
Total Debt / Total Equity
Year 2008
127, 46939 / 10,135,988
Year 2009
168, 082, 68 / 11,336,146
Year 2010
250, 80317 / 16,614,625
= 1.25
= 1.48
= 1.51
Interpretation:
During three years Debt / Equity ratio shows unfavorable. Because its total debts are
exceed total equity and increased in year 2009 and 2010.
Debt to Tangible Net worth Ratio:
Net worth = total assets total liabilities
29
(When we subtract total assets from total liabilities then the result will be shareholders
fund)
Tangible net worth =Net worth minus intangible assets
For year 2012:
Debt to Tangible Net worth Ratio = Total debt / Tangible net worth
= 127, 46939 / 10,772,108
= 1.18
Total debt = Long term debt + Current liabilities
= 10,128,600+ 117, 340,778
= 127, 46939
Tangible net worth = Total Assets - Total Liabilities
= 138,241,486 - 127,469,378
= 10,772,108
For year 2013:
= 168, 082, 68 / 12,782,739
= 1.31
= 7,976,269 + 160,106,405
= 168, 082, 68
= 180,865,413 - 168,082,674
= 12,782,739
For year 2012:
= 250, 80317 / 16,517,770
= 1.51
= 17,633,186 + 233, 169, 967
= 250, 80317
= 267,320,923 - 250,803,153
30
= 16,517,770
Year 2011
127, 46939 / 10,772,108
Year 2012
168, 082, 68 / 12,782,739
Year 2013
250, 80317 / 16,517,770
= 1.18
= 1.31
= 1.51
Interpretation:
Debt to Tangible Net worth Ratio during three years 2011, 2012, 2013 is increased form
previous one. And year 2010 it reach maximum point 1.51.
c) Profitability Ratios:
This ratio provides measurability of firm earning. And its long term profitability
necessary in order to survive for long term in competitive market. These ratios measures
profit figure with firm size, its employed assets, and sales level. It gives snapshot of firm
financial performance.
Net Profit Margin:
It measures actual net profit after the deduction of all cost incurred. It
gives percentage of turnover which is presented by the net profit. Net profit means net
profit after interest and tax. Higher ratio favorable and lower indicates poor earning of
firm.
For year 2012:
Net Profit margin = Net Profit / Sales x 100
= 1,114,952 / 13, 404, 13
= 8%
Net profit for year 2008 = 1,114,952
Bank is service provider so its (Sales) Interest earned during year is considered =
13,404,132
For year 2013:
31
= 1,200,159 / 16,957,875
= 7%
Net profit for year 2009 = 1,200,159
Interest earned (Sales) = 16,957,875
For year 2014:
= 1,190,329 / 19,710,460
it for year 2010 = 1,190,329
= 6%
Net prof Interest earned (Sales) = 19,710,460
Interpretation:
Net profit margin of FBL continuously downward form 8% to 7% and then 6% and this is
not a good sign for Bank. Because its net profit margin reduced in these years.
Return on Assets:
Return on assets measures firm profitability relative to its assets. Higher percentage
return on assets shows efficient management in using its assets.
For the year ended December 31, 2013:
Return on Assets = Profit after taxation / Average Total Assets *100
= 1,114,952 / 69,120,743 *100
= 1.61%
Profit after taxation = 1,114,952
Average Total Assets = Total assets / 2
= 138,241,486 / 2
= 69,120,743
For year 2014:
= 1,200,159 / 90,432,707 *100
32
= 1.32%
= 180,865,413 / 2
= 90,432,707
For year 2015
= 1,190,329 / 133,660,461.5 *100
= 0.89%
= 267,320,923 / 2
= 133,660,461.5
Interpretation:
During year 2014 return on assets gives maximum value than other two years. And after
year 2008 return on assets tending toward decline as in year 2015 it is 1.32% and then in
year 2014 0.89%.
Operating Income Margin:
Operating income margin (Operating earning or operating profit) is calculated after
deducting all selling and administration expenses from Gross profit.
For year 2011:
Operating Income Margin = Operating Income / Net Sales*100
= 1,691,534 / 13,404,132 *100
= 12.7%
* Selling expenses is not available so only administrative expenses are subtracted from
Gross profit.
Operating income = Gross profit Administrative expenses
= 4,949,377 - 3,257,843
= 1,691,534
33
Interest earned (net sales)
= 13,404,132
For year 2012:

= 705,904 / 16,957,875 *100
= 4.16%
= 4,989,990 - 4,284,086
= 705,904
= 16,957,875
For year 2013:

= -852,868 / 19,710,460 *100
= -4.32 %
= 5,791,204 - 6,644,072
= -852,868
= 19,710,460
Interpretation:
Operating income margin is decreased in three years 2011, 2012, 2013. Maximum return
which get in year 2013 12.7% is satisfactory for the Bank. But it bad sign for Bank when
coming two years Operating income margin is going to decline.
Return on Operating Assets:
Operating assets includes Cash and balances with treasury banks, Balances with other
banks & Operating fixed assets.
Operating Assets for Banks = Total assets (Investments + deferred assets + other
assets)
Year 2012:
Return on Operating Assets = Profit after Taxation/ Operating assets*100
= 1,114,952 / 12,451,282 *100
34
= 8.96%
Operating assets = Cash and balances with treasury banks + Balances with other banks
+ Operating fixed assets
= 8,927,524 + 876,780 + 2,646,978
= 12,451,282
Year 2013:
= 1,200,159 / 11,723,614 *100
= 10.23%
Operating assets = Cash and balances with treasury banks + Balances with other banks
+ Operating fixed assets
= 8,427,202 + 508,795 + 2,787,617
= 11,723,614
Year 2014:
= 1,190,329 / 23,156,833 *100
= 5.14%
Interpretation:
In year 2012 return on operating assets was 8.96%. And after that in year 2013 it moves
favorable 10.23%. But in year 2014 it declines downward than previous two years and
show 5.14% return on operating assets.
Return on Total Equity:
35
This is important measures the net profit earned relative to utilizing each dollar of equity.
Two items appear for this calculation first Net profit and Total equity. It measures that
how much the shareholders earned for their investment in the firm or company. Higher
ratio indicated efficient management of shareholders fund and grater return on their
investment.
For year 2013:
Return on Total Equity = Profit after taxation / Total Equity*100
= 1,114,952 / 10,135,987 *100
= 11%
Profit after taxation (Net profit) = 1,114,952
Total equity = Share capital +Reserves +Unappropriated profit
= 5,296,445 + 3,790,023 + 1,049,519
= 10,135,987
For year 2014:
= 1,200,159 / 11,336,146 *100
= 10.6%
= 6,090,911 + 4,030,056 + 1,215,179
= 11,336,146
For year 2015:
= 1,190,329 / 16,614,625 *100
= 7.17%
= 7,309,094 + 7,354,688 + 1,950,843
= 16,614,625
Return on Total Equity
Profit after taxation / Total Equity*100
36
Year 2013
Year 2014
Year 2015
1,114,952 / 10,135,987 1,200,159 / 11,336,146 1,190,329 / 16,614,625
*100
*100
*100
= 11%
=10.6%
= 7.17%
Gross Profit Margin:

Gross profit margin ratio measures financial health of company. It is calculated by
dividing Gross profit over Net sales and multiplying answer with 100. It provides main
source for future expenses and savings. High percentage return is satisfied result for
survival and low gross profit margin unfavorable for company (Bank).
Year 2011:
Gross Profit Margin =Gross Profit / Net sale *100
= 4,949,377 / 13,404,132 *100
= 36.92%
Gross profit:
Mark-up / return / interest earned
= 13,404,132
(Less) Mark-up / return / interest expensed = 8,454,755

Interest income (Gross profit)
= 4,949,377
Net sales (Interest earned) during year 2008 = 13,404,132

Year 2012:
= 4,989,990 / 16,957,875 *100
= 29.42%
Gross profit:
= 16,957,875

= 4,989,990

Year 2013:
37
= 5,791,204 / 19,710,460 *100

= 29.38%
Gross profit:
= 19,710,460

= 5,791,204
d) Activity Ratios:
Activity ratios measure firm's ability to convert different accounts within their balance
sheets into cash. This ratio measures efficiency of assets management.
Total Assets Turnover:
Total assets turnover ratio is calculating by dividing sales by assets. The higher the
turnover the favorable it is. This measures efficiency in using assets for generating sales.
Year 2013:
Total Assets Turnover = Total Sales / Total Assets
= 13,404,132 /138,241,486
= 0.09
Total sales = 13,404,132
Total Assets = Current assets + Fixed assets
= 132,610,662 + 5,630,824
= 138,241,486
Year 2014:
= 16,957,875 / 180,865,413
38
= 0.09
= 171,831,162 + 9,034,251
= 180,865,413
Year 2015:
= 19,710,460 / 267,320,923
= 0.07
= 243,282,151 + 24,038,772
= 267,320,923
Year 2012
13,404,132 / 138,241,486
= 0.09
Year 2013
16,957,875 / 180,865,413
= 0.09
Year 2014
19,710,460 / 267,320,923
= 0.07
Interpretation:
In year 2010 ratio is unsatisfactory. In last two years 2008, and year 2009 figure is 0.09.
And in year 2010 it decrease.
Fixed Assets Turnover:
Amount of fixed assets is given in the balance sheet as fixed assets or operating fixed
assets.
39
For year 2008:

Fixed Assets Turnover = Total sales/Fixed assets
=13,404,132 / 5,630,824
= 2.39
Fixed assets = 5,630,824
For year 2009:
= 16,957,875 / 9,034,251
= 1.88
For year 2010:
= 19,710,460 / 24,038,772
= 0.81
Fixed Assets Turnover
Total sales/Fixed assets
Year 2008
13,404,132 / 5,630,824
Year 2009
16,957,875 / 9,034,251
Year 2010
19,710,460 / 24,038,772
= 2.39
= 1.88
= 0.81
40
Interpretation:
Fixed Assets turnover ratio is satisfactory in year 2008 figure 2.39. Year 2009, and year
2010 ratio is un-satisfied.
e) Market Ratios:
Market ratios are commonly used by the investors to assess the performance of a business
as an investment. It also measures investor response to owning a company stock and also
the cost of issuing.
Dividend per share:
Year 2008:
Dividend per share = Total amount of Dividend/ Number of outstanding shares
= 870,266 / 529,644
= 1.64
Year 2009:
= 0 / 609,091 =0
In year 2009 no dividend was paid.
Year 2010:
= 645000 / 7,309,094
= 0.08
41
Dividend per share

Total amount of Dividend/ Number of outstanding shares
Year 2008
870,266 / 529,644
Year 2009
0 / 609,091
Year 2010
645000 / 7,309,094
= 1.64
=0
= 0.08
Interpretation:
In year 2008 DPS ratio gives favorable figure Rs. 1.64.
Earning per Share:
Year 2008:
Earning Per Share = Profit after Taxation/ Number of Shares
= 1,114,952 / 5,296,445
= 0.21
Number of Shares = 5,296,445
Year 2009:
= 1,200,159 / 6,090,911
= 0.19
Year 2010:
42

= 1,190,329 / 7,309,094
= 0.17
Earning Per Share
Profit after Taxation/ Number of Shares
Year 2008
1,114,952 / 5,296,445
Year 2009
1,200,159 / 6,090,911
Year 2010
1,190,329 / 7,309,094
=0.21
=0.19
=0.17
Interpretation:
Earning per share ratio measures company profitability. And also helpful in determining
share price. In three years measure it shows unsatisfactory figures.
Price/Earning Ratio:
For year 2013:
Price / Earning Ratio = Stock Price per Share/ Earning Per Share
= 11.51 / 0.21
= 54.9
For year 2014:
43
=17.53 / 0.19
= 92.2
For year 2015:
= 15.59 / 0.17
= 91.8
Price / Earning Ratio
Stock Price per Share/ Earning Per Share
Year 2013
Year 20014
11.51 / 0.21
17.53 / 0.19
=54.9
=92.2
Year 2015
15.59 / 0.17
= 91.8
Review of Descriptive information Faysal bank limited:

Descriptive information is gained form Faysal bank limited annual report, Balance sheet,
Profit & Loss Account, Cash flow statement. Faysal bank limited financial statements are
prepared according to accounting standards (International accounting standard adopted in
Pakistan). Also these statements are prepared according to instructions of Banking
Companies Ordinance 1962, and Directives issued by the State Bank of Pakistan.
In Balance sheet Dividend approval and appropriation to reserve are recoded as liability
in the year of their approval. The bank is required to transfer twenty percent of its profit
each year to the statutory reserve fund until the amount equal to the Paid up capital of the
Faysal Bank Limited.
I want to describe it that Gross profit in year 2010 decline from previous year which is
29.38%. Net profit also decrease which is 6%. Dividend per share is 0.08 which is more
than year 2009.
In year 2010 Working capital decrease from previous year which is 10,112,184. And
44
Tangible net worth is increased than previous year which is 16,517,770. Balance sheet on
December 31, 2010 shows share capital Rs. 7,309,094 which is favorable than previous
two years 2008, 2009.
Faysal Bank paid up capital in year 2010 most satisfied than two previous years. This
helps him in maintaining its liquidity. Share capital help bank in mobilizing is deposits,
provide attractive return deposits facilities, and update its technology. All these endeavors
affect its profitability.
Audit is conducted in accordance with the auditing standards as applicable in Pakistan.
With the help of these standards audit perform to obtain assurance about whether the
financial are free from any error. Faysal Bank Limited Balance sheet, Profit and Loss
Account, Statement of comprehensive income, cash flow statement, statement of changes
in equity are audited for their reasonable assurance about free of any material
misstatement.
In their opinion, the financial statements present fairly the financial position of Faysal
Bank Limited, and the results of their operations, their comprehensive loss, and their cash
flows, changes in equity comply with the approved accounting standards as applicable in
Pakistan.
(1). Trend Analysis:
In trend analysis I compare all financial ratios which required in my Internship
report. Financial Ratios helpful in comparing Bank financial position whether it is
favorable or deteriorate or un-changed in specific period. And trend analysis ratio tells its
position in terms of upward, downward, or remains constant.
Trend Analysis
Faysal Bank Limited
Years ended 2008, 2009 & 2010
Performance Area
2008
2009
a) Liquidity Ratios
45
2010
Trend Analysis
Current Ratio
Unfavorable
1.13
1.07
1.04
(Standard
2:1)
Low
Acid Test Ratio
ratio
liquidity
ratio in all the

0.10
0.14
0.09
years
(Standard
ratio
1:1)
Current
Working capital
15,269,884
11,724,757
10,112,184
assets
are sufficient to
meet
current
liabilities
b) Leverage Ratios
Time Interest Earned
-0.37
-0.30
-0.35
all three years

Leverage
Debt Ratio
0.92
0.92
Debt / Equity Ratio

1.25
1.48
0.93
1.51
increase in year
2010
FBL
debt
increase in year
2010
In 2010 FBL has
Debt to Tangible Net

worth Ratio
Negative ratio in
1.18
1.31
1.51
more debt in its

capital structure
In 2010 Ratio is
Total Capitalization Ratio
increase
0.49
0.41
0.51
c) Profitability Ratios
Profit
Net Profit Margin
8%
7%
46
6%
decreasing
is
Return on Assets
DuPont Return on Assets
Operating Income Margin
Return
on
1.61%
1.32%
0.80%
0.67%
12.7%
4.16%
0.89%
0.45%
(4.32) %
Operating
Assets
8.96%
10.23%
5.14%
Return on Total Equity
Minimum ROA
in year 2010
Continuously
decrease in three
years
Decrease and in
year
2010
negative
In year
2010
return is decrease
Return on total
11%
10.6%
7.17%
equity
is
Decreasing
continuously
Gross profit is
Gross Profit Margin

36.92%
29.42%
29.38%
decrease in year
2010
d) Activity Ratios
Total Assets Turnover
0.09
0.09
0.07
2.39
1.88
0.81
Fixed Assets Turnover
Minimum in year
2010
Favorable in year
2008,
and
minimum in year
2010
e) Market Ratios
Dividend per share
In
1.64
0.08
satisfy
2008
but
in
next two years

unfavorable
Unfavorable
Earning per Share

0.21
Price/Earning Ratio
Year
54.9
0.19
92.2
47
0.17
91.8
earnings
during
three years
Satisfy in year
2009
(13). Future Prospects of FBL

Faysal bank launched its branches on domestic place, in order to provide basic consumer
banking services. It boosts its investment in HRM in order to manage new opportunities
which generate income. In order to get consumer market share it introduced finance
products for its consumers. In order to get new customers attention
Faysal Bank Limited plan to introduce new short term product in order to acquire
deposits e.g. FBL plan to provide profit rate of 15% to 16%, well above the other banks
offer rate. FBL also devise policies for introducing of home finance for home appliances
or for construction of home. And also Toba branch plan to introduce car finance facility
to its customers.
48
14. Conclusion
In conclusion on the result of financial analysis and after conducting SWOT analysis it
comes to known that FBL has enough current assets which maintain its liquidity. It has a
sound financial position.
Conclusion about FBL Toba Tek Singh branch I observe during my internship program is
that staff is not complete in this branch. So on few employees work overload which
discourage their virtuous. I also observe that mostly branch ATM machine not work
properly and clients face inconvenience.
Moreover Bank Alfalah Islamic and Meezan Bank (Premier Islamic Bank) located in
same street of banking. These both introduce attractive deposit interest rates and in turn
FBL face stiff competition and challenges.
FBL Toba branch has sophisticated software installed. They buy it at cost of Rs. 8
million. I observe during my internship period that all Deposits, Payments, Western union
recording, assigning numbers to files, and many other miscellaneous works execute
through this system.
FBL provides Debit card, finance schemes, deposits facility like Faysal Sahulat Current
Account, Faysal Savings Account, and Faysal Izafa Term Deposit Account. It also
provides assistance to agriculture sector in form of Faysal Kisan Khushal Scheme.
Through it bank provide loan facility up to 80% farmer charges for agriculture purposes.
Faysal bank takes some steps to provide more products at attractive mark up to its
customers and anticipate in economic development of Pakistan.
49
15. Recommendations for Improvement

Now I want to give some suggestion and recommendations for FBL in the light of ratio
analysis and my own observation during internship program.
Management training of employees:
If professional management training is provided to employees then it explores their
internal capabilities and skills. After management training employees capable to make
critical decisions vary due to changing in economic conditions of country.
Heavy promotion activities:
FBL must take part in heavy advertisement as the people become aware of the bank. FBL
Toba branch has lack of awareness in the people and also low trust due to un-productive
advertising campaign.
Increase customers Base:
There is lack of customers volume in FBL. It has the option to increase its customers
through efficient marketing system. Bank should develop healthy relations with
customers.
Home financing:
FBL Toba Tek Singh branch not yet issue loan for home appliances as well as for
construction of home. It must issue home financing to its clients at early steps. Because in
Toba branch this facility not provided by bank but in other banks like UBL provide home
loan facility.
Co-operative environment:
I observe during internship that some employees have rude behavior with customers. So I
think that it necessary that friendly environment of customers dealing is established in
FBL Toba branch. Irrespective of their transaction volume with bank it necessary that
seats given to customers and also give them respect. They feel cooperative environment
and their importance to the bank.
New Technology:
Faysal bank faces competition due to establishment of other banks in place. So it
necessary that it invest in new technology in order to provide fast services less costly than
competitors.
50
51

Faisal Bank

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Faisal Bank

Uploaded by

Copyright:

Available Formats

Title page

Faysal bank limited

8. Brief introduction of the Organizations Business Sector

9. Overview of the organization

(b) Organizational Hierarchy chart

(c) Business volume

Share Shares Held

their Spouse and

(d) Product lines

Faysal Savings Features and Benefits:

Faysal Home finance:

f. Brief Introduction of all the Departments

This department is responsible for account opening of its customers. During my

transfer of fund with limit of Rs.250000/ daily.

g. Comments on the organizational structure

10. Plan of Internship Program:

c. Names of Departments in which I got training:

Duration of Internship Program:

Undertaking signed by all authorized persons mentioning intimation to the bank

Computerized identity card of applicant

program in faysal bank are Rs.125/.

In addition to these work I did some various tasks which

(5). Current portion of LTD

+ lending to financial institutions + investments + advances

Liquid assets = Current assets investments advances

write down the unit of measurement with each

For year 2013:

For year 2011:

EBIT / Interest charges

Weak interpretation, it is not enough to write the increasing/decreasing trend. You

Debt = Long term debt + Current liabilities

Debt / Equity Ratio = Total Debt / Total Equity

Interest earned (net sales)

For year 2012:

For year 2013:

Gross Profit Margin:

(Less) Mark-up / return / interest expensed = 8,454,755

Net sales (Interest earned) during year 2008 = 13,404,132

(Less) Mark-up / return / interest expensed = 11,967,885

Net sales (Interest earned) during year 2009 = 16,957,875

= 5,791,204 / 19,710,460 *100

(Less) Mark-up / return / interest expensed = 13,919,256

Net sales (Interest earned) during year 2010 = 19,710,460

For year 2008:

Dividend per share

Earning Per Share = Profit after Taxation/ Number of Shares

Review of Descriptive information Faysal bank limited:

Acid Test Ratio

ratio in all the

all three years

Debt / Equity Ratio

Debt to Tangible Net

more debt in its

Total Capitalization Ratio

Operating Income Margin

Return on Total Equity

Gross Profit Margin

Fixed Assets Turnover

next two years

Earning per Share

(13). Future Prospects of FBL

15. Recommendations for Improvement

You might also like