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A Comparative Study on the Operating Profit of Commercial Banks in India

Vol 6, Issue 1, January - June 2019 | Pages: 59-71 | Research Paper  

 
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https://doi.org/10.17492/mudra.v6i1.183180


Author Details ( * ) denotes Corresponding author

1. * Roni Jain Raju, Assistant Professor, St. Thomas College Ranny, Pathnamthitta, Kerala, India (ronijainraju@gmail.com)
2. Benson Kunjukunju, Associate Professor, Post Graduate and Research Department of Commerce, St. Thomas College Kozhencherry, Kerala, India (bensonkunjukunju@gmail.com)

The economic development of any country depends upon the banking industry functioning in the country. The success of the banking industry depends upon the amount of profit it earns. Profit of a bank is, perhaps the most appropriate measure to evaluate the economic viability of a bank and it is a primary measure of success of a bank. In the present study, different statistical tools like average, Standard Deviation, co-efficient of Variation and exponential growth rate have been used for analysing the profitability. The time period selected for the study is 2005-2006 to 2017-2018. The analysis bring into light that exponential growth rate of profitability ratios of New Private Sector Banks was much superior as compared to other groups. To withstand in the era competition, Bank should identify and utilise every possibility for improvement in order to increase the profitability.

 

Keywords

Commercial banks; Operating profit; Exponential growth rate; New private sector banks

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