NOM Ratio % 100.00% 80.00%
69.69%
88.38%
78.45%
91.40%
83.53%
60.00%
Ratio %
40.00% 20.00% 0.00% 1
2
3
4
5
Year
Decision: The above figure represents the Net operating margin (NOM) ratio of AB Bank Limited and we see that in the year 2009 AB Bank was in most profitable position. In year 2005 the bank was in lowest profitable position. 5.2.2 Bank Efficiency Ratio: Interest income to Expenses (IEE) = (Interest income – Interest expenses) / total loans and advances Calculation: Year 2005 2006 2007 2008 2009
Interest income – Interest expenses (Amount) 691 616 1439 2034 2908
total loans (Amount) 21385 31289 40915 56709 70880
and
million Tk. advances Ratio % 3.23% 1.97% 3.52% 4.06% 4.10%
Graphical Presentation: IEE Ratio (% ) 5.00% 4.10%
4.06%
4.00%
3.52%
3.23%
3.00% 2.00%
Ratio %
1.97%
1.00% 0.00% 1
2
3
4
5
Year
Decision: The above figure represents the Interest income to Expenses (IEE) ratio of AB Bank Limited and we see that in the year 2009AB Bank was in most highest position. In year 2006 the bank was in lowest profitable position. Operating expense to Assets (OEA): Operating expense to Assets (OEA) = Operating expense / Total assets