Performance Analysis Of Commercial Bank Of Dubai

Running head: PERFORMANCE ANALYSIS OF COMMERCIAL BANK OF DUBAI
Performance Analysis Of Commercial Bank Of Dubai
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PERFORMANCE ANALYSIS OF COMMERCIAL BANK OF DUBAI
Executive summary
The study sheds light on the performance evaluation for the Commercial Bank of Dubai. This
has been done through identifying different performance measurement tools. However, here
the ratio analysis has been used as the performance measurement tool for the bank. An over
view of their financial statement such as balance sheet and income statement has been
provided. To evaluate the profitability for the bank the ROE, ROA, non interest margin ratio
and net interest margin ratio, PLL. ALL and NPL has been calculated. Further for the better
evaluation of the performance through employing equity share, the return on equity has been
analysed through using DuPont method. The losses and the earning from the interest and non-
interest activities have been judged through which the bank’s performance and the growth
prospective have been identified.

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PERFORMANCE ANALYSIS OF COMMERCIAL BANK OF DUBAI
Table of Contents
Introduction................................................................................................................................3
Balance sheet and income statement overview..........................................................................3
Performance analysis.................................................................................................................5
Break down of ROE...................................................................................................................7
Conclusion..................................................................................................................................8
Appendices.................................................................................................................................9

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PERFORMANCE ANALYSIS OF COMMERCIAL BANK OF DUBAI
Introduction
Evaluation of the financial information has been the tool of performance analysis.
This has been recognised that the performance analysis has been done through using various
analytical tools. This undertakes the financial information from the financial statements that
the company is having. For the purpose company’s balance sheet and any other financial
statements are being evaluated by the researchers and growth prospective has been analysed.
Company’s performance analysis provides a competitive advantage over the company’s
performance as this facilitates the company with having opportunity to capture loopholes and
rectify their errors, while at the same time this also improves their performance. However
with the banking industry the performance analysis refers to the evaluation of their customer
satisfaction activities and the sale of the financial products or services. Therefore, for the
better understanding of the performance evaluation the study undertakes a performance
analysis for the Commercial bank of Dubai. The study provides an over view of the balance
sheet and income statement of the bank for the five years. The study uses the analytical tool
such as ratio analysis and identifies the mean and SD of the financial information. Further the
study provides a breakdown of ROE. The study develops an over view on the profitability of
the bank and provides an opinion to the performance of the mentioned bank.
Balance sheet and income statement overview
Balance sheet:
The balance sheet provides an idea over the company’s position in the market. This
provides an idea over the value of the company. The balance sheet of the company shows an
increase in the total assets of 3.48% compared to the value at 2011 and the liquidity portion
has also increased which means the bank has been increased with the investment opportunity.
On the other hand the liability portion has also increased by 2.26%/ this refers that the bank
has generated more loans and increased the debt portion into their account (Bobryshev et al.,