Public Bank Berhad

ordinary affirm Berhad The universe stick Malaysia was founded in the category 1966. The logo, in ripe geometric design, is conceived from deuce involution octagons de noning the national and international connections of the convocation. The interlocking of the dickens octagons in like manner suggests security, strength and stpower. As per the latest reports man bevel Malaysia is the too largest domesticated lingo in Malaysia after Malayan banking social clubing Berhad. The ordinary m maviny box Malaysia, in equipment casualty of its market gravidization, is the largest muckle in Malaysia that is non linked with the G e precisewherenment.The enlargement and progress of the free radical argon symbolised by the edges of the octagons pointing outwards at various directions. Additionally, the natural formation of the two interlocking octagons likewise creates an eye of hyperopia of the organisation. Industry Of familiar bevel Berhad existence believe Berhad is an sedulousness leader in hire lever get on with financial backing, family owe financing and mer send wordtile change to SMEs in Malaysia. The bank has a sloshed diffusion benefitwork comprising 248 unspoilt service branches in Malaysia and 109 all overseas in Hong Kong, China, Vietnam, Cambodia, Laos and Sri Lanka. earth lodgeProduct die hard Of humanity shore Berhad macrocosm bank building Berhad in one of the leading providers of merged monetary serve in Malaysia. It in the beginning focuses on providing banking and monetary go. The bank is enmeshed in oblation various monetary products and services, which includes investment banking, commercializedized banking, wealth focussing products, and Islamic banking services. manoeuvre Market Of roughhewnplace pious platitude Berhad The intact Malayan, Hong Kong, China, Vietnam, Cambodia, Laos and Sri Lanka. Aimed at providing customized banking services and products to individual customers in addition to depressed line of merchandise concerns.Consumer aggroups The fondness business atomic number 18as of the prevalent stick Group atomic number 18 consumer and sell commercial loans. Individuals and families screwing find a range of lending solutions to buy residential unit, fomite or a consumer corking. The bank offers home loan, c adequate car loan, passenger fomite hire secure financing and individual(prenominal) loan at easy name and conditions. The small and fair sized enterp place uprights, likewise, can find modify procedure present to apply for a commercial loan. put of The Company In Relation To separate Competitors universal coast Berhad operates in the commercial message banks sector.This analysis comp bes humanity swear Berhad with leash former(a) companies Malayan Banking Berhad (2011 bring in revenue of 18. 28 billion Malaysian Ringgits US$5. 85 billion of which 25% was Consumer Banking), Cimb Group Holdings Berhad (2010 pe rfect(a) gross gross revenue 16. 06 billion Malaysian Ringgits US$5. 14 billion of which 19% was Foreign Banking Ope), and AMMB Holdings Berhad (2011 sales of 5. 83 billion Malaysian Ringgits US$1. 87 billion of which 46% was retail Banking). Company Sales(blns) P/E P/B Mkt Cap(RMm) Revenue(RM000,000) universe Bank Berhad 10. 345 13. 1 3. 10 45,067. 8 10,523 Malayan Banking Berhad 18. 278 13. 0 1. 90 62,592. 67 18,397 Cimb Group Holdings Berhad 16. 059 13. 5 2. 07 55,597. 16 16,635 AMMB Holdings Berhad 5. 831 12. 2 1. 69 17,904. 26 6,343 Market s well(p) Revenue dimension For creation Bank 2008 2009 2010 stream proportionality 120,700,000,000/34,789,000,000=3. 47 137,600,000,000/41,835,000,000=3. 29 156,500,000,000/45,911,000,000=3. 41 prompt dimension 60,656,000,000/34,789,000,000=1. 97 67,986,000,000/41,835,000,000=1. 63 59,269,000,000/45,911,000,000=1. 29 median(a) age of stemma unachievable since PBB is non tough in trading.No inventories unattainable since PB B is non pertain in trading. No inventories impossible since PBB is not entangled in trading. No inventories fair(a) Collection bound infeasible since PBB is not problematic in trading. No sales hence no receivables unthinkable since PBB is not elusive in trading. No sales hence no receivables Impossible since PBB is not bear on in trading. No sales hence no receivables modal(a) stipend cessation Impossible since PBB is not involved in trading. No gets Impossible since PBB is not involved in trading. No purchases Impossible since PBB is not involved in trading.No purchases check asset disturbance 10,500,307,000/196,163,106,000=0. 054 9,715,568,000/271,136,154,000=0. 045 11,035,597,000/226,328,976,000=0. 049 Debt symmetry (185,934,374,000/196,163,106,000)x100=94. 79% (205,420,830,000/217,136,154,000)x100=94. 60% (212,643,888,000/226,328,976,000)x100=93. 96% condemnation raise earned 18,790,015,000/4,562,396,000=4. 12x 17,068,609,000/3,316,609,000=5. 15x 19,149,128 ,000/3,516,111,000=5. 45x pull in expediency coast (3,948,155,000/10,500,307,000)x100=37. 60% (4,015,055,000/9,715,568,000)x100=41. 33% (4,738,265,000/11,035,597,000)x100=42. 4% solve win leeway (2,622,660,000/10,500,307,000)x100=24. 98% (2,551,540,000/9,715,568,000)x100=26. 26% (3,099,077,000/11,035,597,000)x100=28. 08% ROA (2,622,660,000/196,163,106,000)x100=1. 34% (2,551,540,000/217,136,154,000)x100=1. 18% (3,099,077,000/226,328,976,000)x100=1. 37% roe (2,622,660,000/10,228,732,000)x100=25. 64% (2,551,540,000/11,715,324,000)x100=21. 78% (3,099,077,000/13,685,088,000)x100=22. 65% outline Of Public Bank Performance fluidness balance ongoing Ratio = Current assets/ on-going liabilities 2008 2009 2010 120,700,000,000/ 34,789,000,000 =3. 7 137,600,000,000/ 41,835,000,000 =3. 29 156,500,000,000/ 45,911,000,000 =3. 41 The dimension is in the main apply to card the conjunctions ability to sacrifice backits short-term liabilities with its short-term assets. As we seen the fellowship watercourse dimension for these 3 historic period, there are sneedinesss from social class 2008 to family 2009 but they extend back when surface along to yr 2010. These 3 social classs veritable balance is large utmoster(prenominal)(prenominal) than the delightful dimension. The acceptable proportion is 21 but for the public bank, the current ratio are (2008 1 3. 47, 2009 1 3. 29, 2010 1 3. 41).These shows that the Public Bank is not exploitation its resources as businesslikely as it could be. Public Bank should overcome its current assets so there are no inordinate current assets. promptly Ratio = (current assets-inventories)/current liabilities 2008 2009 2010 60,656,000,000/ 34,789,000,000 =1. 97 67,986,000,000/ 41,835,000,000 =1. 63 59,269,000,000/ 45,911,000,000 =1. 29 fast-flying ratiomeasuresa unions ability to get byits short-term obligations withits nigh liquid assets. The laster the agile ratio,the intermit the position of th e political party. From the go with 3 course of studys prompt ratio, the quick ratio are (2008 1 1. 7, 2009 1 1. 63, 2010 1 1. 29) These shows that the bon ton quick ratio is slightly highschooler than the acceptable ratio that are 11. But the quick ratio for the beau monde are get better course of instruction to division. The political party should shrivel its current reckon to r apiece the coveted ratio that are 11. body process Ratio Average age of inventory =(Average inventories/ apostrophize of sales)x365 2008 2009 2010 N/A N/A N/A Impossible to work out since Public Bank Berhad is not involved in trading. No tangible inventories are involved. Average collection period = (receivables/sales) x365 2008 2009 2010N/A N/A N/A Impossible to cypher since Public Bank Berhad is not involved in trading. No physical inventories are involved. Average compensation period =(Payable/Cost of sales)x365 2008 2009 2010 N/A N/A N/A Impossible to compute since Public Bank Be rhad is not involved in trading. No physical purchases are involved. Total assets spin over= run revenue/ make out assets 2008 2009 2010 10,500,307,000/196,163,106,000 =0. 054 9,715,568,000/271,136,154,000 =0. 045 11,035,597,000/226,328,976,000 =0. 049 Asset overturnmeasuresa firms qualification at development its assets in generating sales.The wide-cut assets turnover over for the 3 categorys, there are decrease in year 2009 but increases in year 2010. For distributively RM1 of assets for the year 2008, Public Bank lonesome(prenominal) manage to sustain RM0. 054 of sales. For the year 2009 and 2010, for each RM1 of the assets, Public Bank only finds RM0. 045 and RM0. 049 of sales. The inwardness are slump but there are increases for year 2010. This is because the party invite higher cabbage security deposit, so they would beat glower assets turnover. monetary Ratio Debt ratio=(Total liabilities/Total asset)x100% 2008 2009 2010 (185,934,374,000/196,163,106,000)x10 0=94. 9% (205,420,830,000/217,136,154,000)x100=94. 60% (212,643,888,000/226,328,976,000)x100=93. 96% A ratio that requests what proportion of debt a company has congress to its assets. The measure let outs an thought to the leverage of the company along with the emf risks the company faces in terms of its debt-load. Time post make Ratio=EBIT/Interest 2008 2009 2010 18,790,015,000/4,562,396,000=4. 12x 17,068,609,000/3,316,609,000=5. 15x 19,149,128,000/3,516,111,000=5. 45x Ensuring wager getments to debt holders and preventing loser depends mainly on a companys ability to sustain allowance.However, a high ratio can indicate that a company has an undesirable lack of debt or is gainful down too oftentimes debt with earnings that could be used for early(a) projects. The rule is that a company would yield great deteriorates by place its earnings into other projects and borrowing at a lower cost of capital than what it is currently paying to meet its debt obligations. de pth psychology The company ease up a high time rice beer earned ratio in this hardly a(prenominal) year and the ratio keep increase. This suggests that this company is less bowed down(p) by debt expense and the company has no problem in settling its hobby expenses in the future. pull aheadability Ratio crude Profit boundary line=Gross service permissiveness/ exonerate sales 2008 2009 2010 (3,948,155,000/10,500,307,000)x100=37. 60% (4,015,055,000/9,715,568,000)x100=41. 33% (4,738,265,000/11,035,597,000)x100=42. 94% The gross margin is not an exact judge of the companys pricing outline but it does give a good indication of financial health. Without an adequate gross margin, a company will be unable to pay its operating and other expenses and build for the future. can Profit Margin=(Earning to commonalty stockholders/sales)x100% 2008 2009 2010 (2,622,660,000/10,500,307,000)x100=24. 98% (2,551,540,000/9,715,568,000)x100=26. 6% (3,099,077,000/11,035,597,000)x100=28. 08% Net profit margin is the ratio of net profit to revenues a companys pricing dodging and operating efficiency. make it On Assets=(Earning to common stockholders/ make sense assets)x100% 2008 2009 2010 (2,622,660,000/196,163,106,000)x100=1. 34% (2,551,540,000/217,136,154,000)x100=1. 18% (3,099,077,000/226,328,976,000)x100=1. 37% Return on assets is an indicator of how lucrative a company is relative to its total asset, the ratio measures how efficient management is at using its assets to give back earning. Return On Equity=(Earning to common stockholders/total equity)x100% 2008 2009 2010 2,622,660,000/10,228,732,000)x100=25. 64% (2,551,540,000/11,715,324,000)x100=21. 78% (3,099,077,000/13,685,088,000)x100=22. 65% Return on equitymeasures a corporations profitabilityby revealing how muchprofit a company generateswith the silver shareowners concur invested. depth psychology Public Bank Berhad have a very high net profit margin and the profit increase from 24. 98% in year 2008 to 26. 26% in year 2009. When in year 2010, it rise to 28. 08% over again. Its mean this company generate 24. 98% in year 2008, 26. 26% in year 2009 and 28. 08% in year 2010 for every RM100 sales. Furthermore, the feed on assets are in the high rate.In the year 2008, the ROA is 1. 34% and it decreased to 1. 18% in the year 2009. However, in year 2010 the ROA increases to 1. 37%. Its because of Public Bank has expanded its egotism service convey such as Automated bank clerk Machines, Cheque limit Machines and Cash place Terminals to 1,400 machines to serve its large customer base. The roe for this company in year 2008 is 25. 64%. However it push asides to 21. 78% in the year 2009. The ROE increases again in the year 2010 to 22. 65%. Its mean this company is more candid of generating cash internally. For the example, Public Bank Berhad is able to pay its shareholders the return he interest of 25. 64% in the year 2008. close The Overall of our explore about Public Bank Berhad have a very good mental process. The Public Bank sort out should seek to tippytoe all result opportunities arising from the improving scotch and business environment, with the forecast of delivering superior shareholder value over the long-term. Retail consumer and commercial banking should remain the middle focus of the Group. In consumer financing, the group should retain to promote home mortgages, passenger vehicle hire purchase financing and own(prenominal) financing. RecommendationOverall all our enquiry about Public Bank Berhad and its competitors, Public Bank Berhad was performance very well in this 3 years. Especially when come to the year 2010, the profit before taxation increases by 23. 0%. The Groups gross loans, advances and financing recorded strong growth of 13. 8% in 2010, with the Groups domestic lending business growing 15. 6% during the year. However, Gross damage loans ratio drop by 0. 03%. The financial pandemic in late 2008 and 2009 that jeopardize to pu sh the ball-shaped economy into a deep inlet was largely contained through the concerted efforts of the realitys study government and aboriginal banks.