Financial Performance Analysis of Agrani Bank Limited -A Study at Nagari Branch, Gazipur

Abstract

Banking sector of Bangladesh is one of the major sectors, which contributes significantly to the national economy. The sector comprises a number of banks in numerous categories. Agrani bank limited (ABL) was incorporated as a state-owned commercial bank on 17 may 2007 under the company’s act 1994. Agrani bank emerged as a nationalized commercial bank following the Bangladesh banks (nationalization) order 1972 vide president’s order no 26 of 1992 under which erstwhile Habib bank limited and commerce bank limited and renamed as Agrani bank. Ongoing concern basis ABL took over the business assets, liabilities, rights and obligations of Agrani bank through a vendor’s agreement signed on 15 November 2007 between the ministry of finance of the people’s republic of Bangladesh and the board of directors of ABL with retrospective effect from 1 July 2007. ABL has 953 branches widely distributed and is a technology pioneer, with all branches providing real time online banking. In the first part of the report, I discussed about the background of the report as it is the introductory part. In this part, I discussed about the objective, importance and methods used to prepare the report. In the second part of the report, I gave a brief introduction of ABL. I have discussed about the organization Overview, Mission, Vision, Values, Motto of the organization, objectives and Performance of the bank at a glance etc. In the third chapter, I gave the theoretical aspects of the Financial Statement Analysis, Ratio analysis, Financial Distress, and Common size Statement Analysis (Vertical Analysis), Comparative statement analysis (Horizontal Analysis) and Trend Analysis. In the fourth chapter, I gave diversity of Ratio analysis, Common size statement analysis (vertical analysis), comparative statement analysis (horizontal analysis), Trend analysis of the performance ABL, assets portfolio, appropriation of profit in 2017 and 2018. The fifth part consists of the findings that I observed in ABL, Nagari Branch during the period, and recommendations to the branch based on the drawbacks and a brief conclusion on the overall report. I performed this part on the basis of Financial Statement Analysis.