Year: 2025
Type: article
Abstract: The study of major public sector banks in India from 2010-11 to 2023-24 revealed key trends in their financial health. It focused on five banks: State Bank of India (SBI), Bank of Baroda (BOB), Punjab National Bank (PNB), Bank of India (BOI), and IDBI. SBI and BOB generally showed positive profitability ratios, while BOI and IDBI faced challenges and losses. Liquidity ratios were stable for SBI and PNB, but fluctuated for others, with IDBI having a strong liquidity position. Debt-equity ratios decreased across all banks, indicating less reliance on debt. Regression analysis showed liquidity significantly impacted financial indicators like Net Profit and ROCE, though the effect varied. Dividend Payout Ratios differed, with SBI paying more dividends consistently, while BOI and IDBI paid less. ANOVA tests confirmed significant differences in financial ratios among the banks. The study underscores the need to consider multiple financial indicators to understand a bank's health and the dynamic nature of the banking sector, advising stakeholders to tailor strategies to each bank's unique situation.
Author: A. A. Attarwala
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4407749626