Financial performance analysis of Dutch-Bangla Bank Limited

Abstract

The report attempts to analyze the financial performance of Dutch-Bangla Bank Limited. It has been one of the leading private commercial banks in Bangladesh. The bank offers a wide range of products and services which includes Deposits and Advances Products, Personal Banking, Corporate Banking, SME Banking, Internet Banking, Mobile Banking, Agent Banking etc. CAMEL Rating System has been followed to analyze the financial performance of the Bank. Therefore, ratios such as capital adequacy, leverage ratio, percentage of classified loans, net profit margin, earning per share, return on equity etc. are calculated to obtain an overall view of its financial performance. The report also consists a comparative analysis between the banks-Dutch-Bangla Bank, Eastern Bank and Southeast Bank to find out the current position of the bank in the industry. From the financial analysis, it can be said that Dutch-Bangla Bank has not performed up to the mark in the year 2016 due to the overall unstable condition in the banking sector. From the comparative analysis, it is evident that the bank has to improve itself in some areas to be more competitive in the market. Increasing profitability is one of the essential ways to improve their position. Again, the bank needs to focus on the increasing expenses and swelling non- performing loans.