Evaluation of Financial Performance of Bank Asia Limited

Abstract

The financial performance of Bank Asia Ltd. has been describe in this study. It has long been one of Bangladesh's top private commercial banks, and it has looked impressive in recent years. No doubt Bank Asia in one of the leading bank in Bangladesh banking sector. Recently they placed top 10 position by doing excellent performance. And I would specially mentions the techniques an ethics they follow in their job it’s really amazing. . Bank Asia have 128 branches in Dhaka and all over the country and BSMMU branch achieved the best performer in this season. By making this report I wanted to scrutinize the Financial Performance of Bank Asia Ltd from the period of 2016 to 2020 and evaluates this performance. The main objective of this report is to analyze financial performance of Bank Asia Ltd over last 5 years. For doing the analysis, some ratios like Return on Equity, Return on Asset, Net Bank Operating Profit Margin, Equity Multiplier, Earning Spread and some more related ratios have been examined. I have also analyzed DuPont analysis, Trend and Common size analysis. I found some reason and obstacle in the way of bank improvement. Like equity multiplier (EM) and Earning Spread (ES). I have found some ratio which are giving positive impact to improving the bank performance. Net Bank Operating Profit Margin (OPM), Degree of Asset Utilization (AU) and Net Interest Margin (NIM) ratio they did not contribute their expected performance. So they should overcome their performance. Similarly Return on Equity (ROE) and Return on Assets (ROA) they should bring consistency in their performance. Equity Multiplier (EM) have to reduce. Earning Spread (ES) should be increased for the betterment of bank performance. Finally we cannot control pandemic or any unwanted situation but bank can be prepared so that they can overcome and maintain their performance.