1. www.vustudents.ning.com In the name of Allah the most beneficent,the most merciful

2. www.vustudents.ning.com Muhammad Khalid Mc100203060 MBA Finance Muhammad Khalid Mc100203060 MBA Finance

3. www.vustudents.ning.com

4. Introduction to MCB Bank Ltd. A bank is a financial institute which deal in money And credit. It receive the deposit and make the loans

5. www.vustudents.ning.com History of MCB bank Muslim commercial bank limited. MCB bank is the one of the leading bank of the Pakistan MCB have the experience over 50 year in Pakistan and the hard work which make it leading organization in the present scenario.MCB is not make the overnight success story but behind the success of the MCB is the hardworking and the full dedication MCB incorporated by the Adamjee group, during in 1960s the bank grew rapidly with the concentration on trade finance products. In 1947, MCB was nationalized along with the private bank and then MCB privatized in 1991 during the Nawaz Sharif‘s government financial sector deregulation policies

6. www.vustudents.ning.com Product and Services of MCB  Al-Makhraj saving account  IANAT account  Al-Makhraj TDR  Saving 365 gold  Saving extra  Smart dollar account  Saving account  Current account  Current life account  Foreign currency account  Auto loan  Credit Cards  Visa Debit card  MCB visa platinum  MCB visa  MCB visa Prepaid

7. www.vustudents.ning.com Competitor of MCB United Bank Limited Allied Bank Limited Habib Bank Limited Askari Bank Limited Alfalah Bank Limited

8. www.vustudents.ning.com Business volume of MCB Details200820092010 Total Assets 443,615,904509,223,727567,552,613 Deposits 330,181,624367,604,711431,371,937 Advances-net 262,135,470253,249,407254,551,589 Investments-net 96,631,874167,134,465213,060,882 Shareholder’s Equity 52,244,86561,075,932488,348,404 Profit before Taxation 21,867,56623,154,94526,253,075 Profit after Taxation 15,374,60015,495,29716,873,175 Earning per Share(Rs.) 22.2520.3822.20

9. www.vustudents.ning.com Organizational Hierarchy Chart President Chairman Vice president Chief Financial Advisor Audit Committee Regional Manager Branch Manager Senior Vice President

10. www.vustudents.ning.com Training Program Starting Date Ending Date 10 November 2011 24 December 2011

11. www.vustudents.ning.com My Working Departments Account opening Remittances Cash Clearing Credit 6 th Week 5 th Week 4 th Week 3 rd Week 2 Weeks

12. www.vustudents.ning.com Ratio Analysis

13. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited (Net profit after taxation / net sale) * 100 Net profit margin Year 2008Year 2009Year 2010 15374600/40043824 *100 = 38.39 % 15495297/51616007 *100 = 30.02% 16873175/54821296 *100 = 30.78 %

14. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Net interest margin / mark-up earned Gross spread ratio Year 2008Year 2009Year 2010 28,483,084 / 40,043,824 =0.71 times 35,774,544/ 51,616,007 =0.69 times 36,833,529/ 54,821,296 =0.67 times

15. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Non interest income / total income Non Interest income to total income ratio Year 2008Year 2009Year 2010 30255403 / 70299277 =0.43 times 34095108 / 85711115 =0.39 times 39501718/94323014 =0.41 times

16. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Interest earned / interest expenses Spread ratioYear 2008Year 2009Year 2010 40,043,824/11,560,74 0 =3.46 times 51,616,007/15,841,46 3 =3.258 times 54,821,296/17,987,7 67 =3.047 times

17. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited (Earning before income tax / total assets) * 100 Return on Assets Year 2008Year 2009Year 2010 21867566/443615904 *100 =4.93 % 23154945/509223727 *100 =4.55 % 26253075/56755261 3 *100 =4.63 %

18. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited (Net income / sale) * (sale / total assets) * 100 DuPont Return on Assets Year 2008Year 2009Year 2010 (0.3839*0.090267) * 100 =3.47 % (0.3002*0.101362) * 100 =3.04 % (0.3077*0.096592) * 100 =2.97 %

19. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited (Net income / total equity) * 100 Return on total Equity Year 2008Year 2009Year 2010 15,374,600/ 52,244,865 * 100 = 29.43 % 15,495,297/ 61,075,932*100 =25.37% 16,873,175/ 69180,011*100 =24.39 %

20. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Total Liabilities / Total Assets Debt RatiosYear 2008Year 2009Year 2010 385,179,850 / 443,615,904 = 0.87 Times 439,483,714 / 509,223,727 = 0.86 Times 488,348,404 / 567,552,613 = 0.86 Times

21. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Total liabilities / total share holder Equity Debt / Equity Ratio Year 2008Year 2009Year 2010 385,179,850 / 525,244,865 =7.37 Times 439,483,714 / 61,075,932 =7.19 times 488,348,404 / 69,180,011 =7.06 times

22. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Earning before Income Tax (EBIT) / Interest Expenses Times Interest Earned Year 2008Year 2009Year 2010 33,428,306 / 11,560,740 =2.89 times 38,996,408 / 15,841,463 =2.46 times 44,240,842 / 17,987,767 =2.46 times

23. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Advance / deposit Advance / deposit ratio Year 2008Year 2009Year 2010 262,135,470/330,181, 624 =0.79 times 253,294,407/367,604, 711 =0.69 times 254,551,589/431,37 1,937 =0.59 times

24. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Operating cash flow / current liabilities Operating cash flow ratio Year 2008Year 2009Year 2010 20,315,38/384742713 =0.0052 times 78,148,082/43628697 1 =0.179 times 58,701,161/4834143 86 =0.121 times

25. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Total dividend / no. of outstanding shares Dividend per share Year 2008Year 2009Year 2010 98,341,75/628276.8 =15.65 Rs. 67 355,10 / 691104.5 =9.75 Rs. 85,675,47 / 760215 =11.27 Rs.

26. www.vustudents.ning.com Ratio analysis Muslim Commercial Bank Limited Net income / number of outstanding Earning per share Year 2008Year 2009Year 2010 15,374,600 / 628276.8 =24.47 Rs. 15,495,297/691104.5 =22.42 Rs. 16,873,175 / 760215 =22.19 Rs.

27. www.vustudents.ning.com Ratio analysisMuslim Commercial Bank Limited Market value per share / earning per share Price / earning ratio Year 2008Year 2009Year 2010 125.81 / 24.471061 =5.14 Rs. 219.68 / 22.421062 =9.79 Rs. 228.54 /22.195267 =10.29 Rs.

28. www.vustudents.ning.com Conclusion  During my internship in MCB bank I conclude that the organization doing overall good business and also have a good culture.  MCB provide different type of products and account to the customer.  MCB’s most of branches have online system and ATM machines which is good for the customer.  MCB has also the largest branch setup all over the Pakistan.  Net profit of the organization is decreases and it is need to be improve for the portability.  Also the Debt ratio of the organization is decreasing over the time so it is good sign for the organization.  Return on assets of the organization is very good so the bank is utilize there sources very well and gain profit.  So there is also some week point of the organization as there is some strict rule regarding the account opening so customer face some difficulty.  Finely the organization doing a very good business.

29. www.vustudents.ning.com Recommendation The MCB bank (Ltd) doing good gob over the years that way the deposit of the organization increase and the profitability also increase. The recommendation for the improvement is as follow  training of the employees according to the new technology and also hire the young talent and fresh blood in the organization  Make all the banks online and minimum charges of the usage of ATM cars and also make the mobile transaction free of cost.  Bank also take the step to increase in profit.  There is need to improve the security of the organization as improve security cameras and other devices for safety.  Also make the documentation awareness  Investment in assets should be appropriate.  Return on assets is improving over the year and make sure this is continued.

30. www.vustudents.ning.com