8/8/2019 MFI NCC Bank XL Reports
1/34
2005 2006
Property And Asets
Cash:
In hand
Local Currency 304,119,645 240,961,238
Forreign Currency 1,907,977 7,484,578
total 306027622 248445816
Local Currency 988,510,813 1,354,993,343
Forreign Currency 20,995,977 144,016,719
total 1009506790 1499010062
Local Currency at sonali Bank Ltd. 30,776,153 41,105,226
total 1040282943 1540115288
Balance with other banks and financial institutions:
In Bangladesh, Current Accounts with commercial Banks 37,060,808 26,728,163
Short term deposit Accounts with commercial banks 50,000,000 980,000,000
Fixed Deposits with others 445,000,000 280,000,000
total 532060808 1286728163
Out Side Bangladesh:
Current Account(non-interest bearing) with Foreign Bank 19,382,813 52,939,816
Current Account(interest bearing) with Foreign Bank 52,536,052 82,342,683
total 71918865 135282499
Monety at call and short notice 120,000,000 560,000,000
total 191,918,865 695,282,499
Investment:
investment in government securities:T-bills 2,331,437,098 1,088,952,753
BB bills (- ) (- )
T-bonds 492,985,613 2,221,538,214
Mergin (- ) (- )
Prize Bonds 7,860,900 (- )
15 Years debentures 32,681,848 301,433,063
Other investment 145,482,283 141,444,513
total 3010447742 3753368543
Balance with BB and its agent bank
8/8/2019 MFI NCC Bank XL Reports
2/34
Loan and advances:
Loans,Cash, credits,overdrafts etc in BD ### ###
Bill purchased and discounted 1,409,058,841 1,639,594,703
total 20533129129 24678356293
Total Current Assets 24573584166 30662181314
Fixed assets c\including premises, furniture & fixtures:
land 190,983,950 213,652,230structures(on land) 2,287,522 2,287,522
Furniture and fixtures 104,136,776 120,063,672
Machinery and equipments 102,989,109 119,987,602
vehicles 32,525,821 42,574,850
total cost 432923178 498565876
Less: Accumulated Depreciations 124,186,045 144,858,819
Net book value at the end of the year 308737133 353707057
Oters Assets 192,125,324 260,294,133
Non-banking Assets -
Total Assets 25994729566 32256297792
LIABILITIES & CAPITAL
LIABILITIES
Borrowing from other Banks, Financial Institutions & agg 1,256,179,954 155,555,365
Deposits & other accounts:
Ccurreny deposits & other accounts 3,070,684,540 3,603,928,441
Bills payable 333,013,172 371,294,841
Savings Bank Deposits 2,109,130,157 2,569,312,503Fixed Deposits ### ###
Term deposits 2,898,144,627 3,924,315,390
Bearer Certificates of Deposits 143,914,000 144,239,000
Other liabilities 1,722,391,116 2,177,300,913
Total Liabilities 24456787456 30480198613
Shareholder's Equity
Share Capital:
Issued,Subscribed & fully paid-up capital 975,039,810 1,201,788,566
Statutory Reserve 625,412,398 877,685,076
Other Reserve 46,577,688 47,508,557
Profit & loss account-Retained Earning 10,312,214 7,826,980
TOTAL SHAREHOLDER'S EQUITY 1657342110 2134809179
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 26114129566 32615007792
8/8/2019 MFI NCC Bank XL Reports
3/34
2005 2006
Interest Income:
Interest on Loans & Advances 2,024,020,673 2,934,223,518
Interest on balances with banks & financial institutions 48,465,630 77,906,007
Total 2072486303 3012129525
less: 1,463,857,337 2,047,143,589
Net Interest income 608628966 964985936
Income from investment 240,735,656 265,168,893
Income from commission 226,478,385 248,353,446
Income from exchange 259,917,222 225,182,073
Income from Brokerage 8,757,822 15,495,893
Other operating Income 123,626,186 135,660,233
Total Operating Imcome 1468144237 1854846474
Salaries & allowances 258,782,718 367,663,793
Rent 24,053,655 31,267,579
Rates & Taxes 1,151,282 1,227,231
Insurance 10,833,019 14,099,329
Electricity 9,412,501 10,620,824
Legal Expenses 4,048,205 4,025,901
Postage,Stamp & telecommunication 17,530,028 20,727,648
Stationary,printing &advertisement 16,944,071 19,261,704
Managing Director's Salary & allowances 2,260,000 2,730,000
Director's Fees 827,500 1,185,500
Audit Fees 180,000 120,000
Depreciation & Repair of Bank's assets 50,059,352 63,733,131Other Expenses 53,669,380 61,808,842
Total Operating Expense 449751711 598471482
Profit before provisions 1018392526 1256374992
Provision for loan & advances:
Specific Provision 257,994,954 130,784,000
General Provision 63,239,680 79,957,086
Provision for off-balance sheet exposures (- ) (- )
Provision of Gratuity (- ) (- )
8/8/2019 MFI NCC Bank XL Reports
4/34
Provision for Investment Fluctuation in Shares 12,912,262 (- )
Provision for other Assets (3,404,821) 321,771
Total provisions 330742075 211062857
Profit after provision for Loans & Advances & othe 687650451 1045312135
Contribution to NCC Bank Foundation (- ) (- )
Profit Before tax 687650451 1045312135
Provision for tax 335,518,278 577,293,262
Profit after tax for the year 352132173 468018873Add: Balance of pprofit brought forward from last years 14,257,143 10,312,214
Total Profit available for distribution 366389316 478331087
Appropriations
Statutory reserve 20% of net profit before tax 137,520,090 211,302,614
General Reserve 218,507,012 270,402,427
356,027,102 481,705,041
Retained earnings carried forward 10,312,214 7,826,980
Weighted average number of outstanding shares ### ###
Earnings per share(EPS) 36.11 39.88
2005 2006
A) Cash flows from operating activities
Interest received in cash 2,295,921,649 3,282,837,515
Interest paid by cash 1,343,300,714 1,866,925,400
Dividend received 4,828,623 4,986,665
Fees & Commission received in cash 239,242,997 261,348,330
Receives of loans previously written off 16,333,837 7,086,252
Cash paid to employees (258,215,838) (370,348,353)Cash paid to suppliers (22,470,931) (23,797,279)
Income taxes paid (227,210,157) (618,908,571)
Received from other operating activities 379,624,923 358,795,292
Paid for other opeerating activities (149,497,041) (178,428,189)
Operating profit before changes in operating asse 3621858776 4590497062
Increase/(Decrease) in Operating Assets & Liabilities
Purchase-sale of trading securities 1,370,503,313 (486,068,256)
Loans & advances to other banks - -
8/8/2019 MFI NCC Bank XL Reports
5/34
Loans & advances to customers ### ###
Other assets 220,185,368 552,044,891
Deposits from other Bannks/Borrowings 895,000,000 (585,000,000)
Deposits from customers 4,513,982,406 7,254,125,949
Other liabilities account of customers (744,223,236) (632,896,075)
Trading liabilities - -
Other liabilities (95,243,266) 103,963,636
Net cash received from operating activities 4460086457 6651440043
B)Cash flows from investing activities
Proceeds from sale of securities 6,365,421 10,409,910
Purchase of property,plant & equipment (35,622,762) (71,780,835)
Sales proceeds of Fixed assets 4,296,885 2,408,349
Net cash used in investing activities -24960456 -58962576
C) Cash flows from financing activities
Received from issue of loan capital & debt securities ### ###
Payment for redemmption of loan capital & debt securit (- ) (- )Receipts from issue of right share 184,890,450 117,495,250
Dividend paid (- ) (109,253,500)
Net cash received from financing activities -1085053427 -1092382839
D) Net(decrease)/increase in cash(A+B+C) 3350072574 5500094628
Effects oof exchange rate changes on cash & cash-equivalents
E) Opening cash & cash-equivalents 1,414,679,992 2,078,151,138
F) Closing cash & cash-equivalents(D+E) 4764752566 7578245766
8/8/2019 MFI NCC Bank XL Reports
6/34
National Credit and commerce Bank Ltd.
Balance sheet
As at June 30 for following years
2007 2008 2009
435,851,910 4424012301 531073050
31,399,227 8806867 8551150
467251137 4432819168 539624200
1,694,669,371 2233477788 2772982393
63,995,252 73113221 58734025
1758664623 2306591009 2831716418
66,865,396 98682941 111157049
1825530019 2405273950 2942873467
72,034,648 24850479 30167168
80,268,101 188585265 24153167
196,100,000 149105074 948805074
348402749 362540818 1003125409
92,052,805 71173409 149361782
15,059,233 50398764 82687195
107112038 121572173 232048977
- - -
107112038 121572173 232048977
3,760,897,933 2333155169 2258365307
(- ) - 49958850
2,320,031,910 3598079880 6013802964
(- ) 241720240 3500000
(- ) 10341500 11153300
23,585,403 13431055 6568042
162,099,963 330090817 357416215
6266615209 6526818661 8700764678
8/8/2019 MFI NCC Bank XL Reports
7/34
30,616,557,011 44394497310 45875411248
2,071,196,154 1938191154 1918357019
32687753165 46332688464 47793768267
39877134298 57776439284 58269331531
359,656,957 528791599 5287915992,287,522 2287522 2287522
135,700,783 154983603 193177778
148,519,769 239358707 307250651
45,538,850 54332834 58817739
691703881 979754265 1090325289
169,708,280 204448771 233181837
521995601 775305494 857143452
298,194,075 578504998 2077921243
- - -
42522853993 61535523726 64147269693
1,917,516,640 2606034046 1911600449
4,365,185,051 4864150294 4709863820
669,649,754 692280856 416627979
3,248,236,813 3920781742 491931795921,608,793,301 30880912000 33267700069
4,963,395,284 6508949270 85370950631
46,514,000 37589000 37589000
2,744,966,287 3799528274 4751597411
39564257130 53310225482 135385247318
1,757,615,777 1757615000 2284900200
998,726,567 1356518531 1674147620
194,119,695 408543243 908906283
8,134,824 532620870 727923872
2958596863 4055297644 5595877975
42522853993 57365523126 140981125293
8/8/2019 MFI NCC Bank XL Reports
8/34
National Credit and commerce Bank Ltd.
Income Statement
As at June 30 for following years
2007 2008 2009
3,734,409,102 3325743166 4282934437
1,273,973,382 18156051 40956142
5008382484 3343899217 4323890579
2,738,449,472 2567137607 3415986839
2269933012 776761610 907903740
519,684,376 380572804 588259885
331,182,016 321530853 259019805
2,985,575,859 224417239 169538184
78,113,932 135000000 203572000
179,680,977 143851124 533692586
6364170172 1982133630 2661986200
449,461,009 371152885 468009192
38,397,200 29691225 35156159
2,116,300 1140535 1406401
17,434,433 14362261 19687367
12,913,525 8610901 10715639
3,931,197 2005140 1967861
30,166,863 20922945 27110037
21,834,886 22301469 23816650
3,340,000 3448360 3071750
1,456,000 936000 1128000
120,000 - 80000
840,045,290 60985379 9434834785,116,287 67338082 98466319
1506332990 602895182 784963722
4857837182 1379238448 1877022478
207,934,561 312004200 129528035
106,686,414 43828800 80519000
51,688,967 20732000 6524724
30,000,000 30000000 34000000
8/8/2019 MFI NCC Bank XL Reports
9/34
23,607,932 20000000 9805275
(1,000,000) 1000000 28500000
418917874 427565000 288877034
4438919308 951673448 1588145444
5,000,000 - -
4438919308 951673448 1588145444
679,148,762 314405000 547928753
3759770546 637268448 10402166917,826,980 8135001 5336270
3767597526 645403449 1045552961
271,265,061 190334690 317629089
405,603,641 - -
676,868,702 190334690 317629089
8,134,824 455068759 727923872
20,000,000 18000302193 47604026314
50.09 28 46
National Credit and commerce Bank Ltd.
Cash Flow StatementAs at June 30 for following years
2007 2008 2009
4,305,963,128 2659415500 4041248125
2,543,166,579 2025220960 2925581282
7,718,468 6427916 2341495
406,275,948 324917853 267856805
9,100,802 6965729 2003750
(452,801,009) -374601245 -471080942(49,642,465) -52346778 -74345011
(551,801,047) -349490812 -565173723
476,175,990 368268363 670730770
(218,877,897) -139546421 -204892824
6475278497 4475231065 6594269727
(1,779,014,512) -371658574 -2139496942
- - -
8/8/2019 MFI NCC Bank XL Reports
10/34
(8,009,396,872) -6987388874 -1461079803
527,332,549 -11100613 129967823
(130,000,000) -1030000000 -1510000000
6,884,431,868 5879467609 6493530696
(662,568,540) -385094042 -174970720
- - -
45,202,958 438929644 293520075
3351265948 2008386215 8225740856
42,700,963 -208386723 -2995927
(53,371,034) -69114586 -110571024
2,906,704 - -
-7763367 -277501309 -113566951
1,761,961,275 -732991529 -694433597
(- ) - -(- ) - -
(120,178,857) - -
1641782418 -732991529 -694433597
4985284999 997893377 7417740308
3,844,394,966 3743346807 3139542535
8829679965 4741240184 10557282843
8/8/2019 MFI NCC Bank XL Reports
11/34
8/8/2019 MFI NCC Bank XL Reports
12/34
8/8/2019 MFI NCC Bank XL Reports
13/34
8/8/2019 MFI NCC Bank XL Reports
14/34
8/8/2019 MFI NCC Bank XL Reports
15/34
8/8/2019 MFI NCC Bank XL Reports
16/34
2005
Liquidity Ratios
Current Ratio (Current Assets/Current Liabilities) 0.61
Quick Ratio (Current Assets-Inventory)/(Current Liabilities)
Net Working Capital to Sales Ratio (Current Assets-Current Liabilities/(Sales)
Profitability Ratios
Gross Profit Margin (Gross Income/Sales) 0.29
Operationg Profit Margin (Operating Income/Sales) 0.71
Net Profit Margin (Net Income/Sales) 0.17
Activity Ratios
Inventory Turnover (Cost of Goods Sold/Inventory)
Accounts Receivable Turnover (Sales on Credit/Accounts Receivable)
Total Asset Turnover (Sales/Total Assets) 0.08
Fixed Asset Turnover (Sales/Fixed Assets) 6.71
Financial Leverage Ratios
Total Debt to Assets Ratio (Total Debt/Total Assets) 0.94
Long Term Debt to Assets Ratio (Long Term Debt/Total Assets) 0.81
Total Debt to Equity Ratio (Total Debt/Total Shareholders Equity) 14.76
Coverage Financial Leverage Ratios
Times Interest Coverage Ratio (Earnings Before Interest and Tax/Interest) 0.76
Fixed Charge Coverage Ratios ( EBIT+Lease Payment)/(Interest+Lease Payment) 0.76
Share Holders Ratios
Earnings Per Share (Net Income to Share Holders/Number Of Share Outstanding) 36
8/8/2019 MFI NCC Bank XL Reports
17/34
Dividend Per Share (Dividend Paid to Shareholders / Number of Share Outstanding) (- )
Dividend Payout Ratio (Dividends/Earnings) -
Retention Ratio (Earnings- Dividends/Earnings) 1
8/8/2019 MFI NCC Bank XL Reports
18/34
Ratio Analysis of National Credit and commerce Bank Ltd.
2006 2007 2008 2009
0.66 0.65 0.67 -0.24
0.32 0.45 0.23 0.21
0.62 1.27 0.59 0.62
0.16 0.14 0.06 0.07
0.09 0.12 0.05 0.07
8.52 9.59 4.31 5.04
0.94 0.93 0.87 2.11
0.82 0.81 0.78 2.03
14.28 13.37 13.15 24.19
0.67 1.91 0.68 0.64
0.67 1.91 0.68 0.64
40 50 28 46
8/8/2019 MFI NCC Bank XL Reports
19/34
0.01 6.01 - -
0.23 0.03 - -
0.77 0.97 1 1
8/8/2019 MFI NCC Bank XL Reports
20/34
Valuation Assumptions
Valuation Date 22-Dec
Discount Rate 0.0%
Terminal Value
Terminal Switch 2
EBITDA Exit Multipl 6.0 x
Terminal Growth R 0.0%Tax Rate 200.0%
(Tk in thousands) 2005 2006
Total Revenue 608628966 964985936
Growth Rate 0.59
COGS 48465630 77906007
Gross Margin 560163336 887079929
% of Sales 92.04% 91.93%
Operating Expenses 449751711 598471482
% of Sales 73.90% 62.02%
Royalty, training and consultancy 0 0
% of Sales 0 0
General and Administrative 0 0
Total Operating Expenses 449751711 598471482
EBIT 1009915047 1485551411
% of Sales 165.93% 153.95%
Depreciation/Amortization 50,059,352 63,733,131
EBITDA
% of Sales
Income Taxes 335,518,278 577,293,262
Unlevered Net Income 674,396,769 908258149
Add: Depreciation/Amortization 50,059,352 63,733,131
Less: Changes in Working Capital
Less: Capital Expenditures
Net Cash Flow Before Debt
8/8/2019 MFI NCC Bank XL Reports
21/34
Present Value of Adjusted Cash Flows
Enterprise Value 6,881,210,761
Plus: Cash #REF!
Less: Interest Debt 6016
Equity Value: #VALUE!
No of shares outstanding 0
Equity value per share #VALUE!
Market value per share on 31th Augu 2885
Variance in compare to actual value #VALUE!
Cash Flow Timing (1=12 months from valuation)
8/8/2019 MFI NCC Bank XL Reports
22/34
Rrojected
2007 2008 2009E 2010E 2011E 2012E
2269933012 776761610 907903740 993422353 1086996261 1189384221
1.35 -0.66 9% 9% 9% 9%
1273973382 18156051 40956142 185,018,945 202,446,523 221,515,666
995959630 758605559 866,947,598 808,403,408 884,549,738 967,868,556
43.88% 97.66% 95% 81% 81% 81%
1506332990 602895182 784963722 695,125,663 760,601,968 832,245,715
66.36% 77.62% 86.46%
0 0 - - - -
0 0
0 0 - - - -
1506332990 602895182 784,963,722 695,125,663 760,601,968 832,245,715
2502292620 1361500741 81,983,876 113,277,744 123,947,769 135,622,841
110.24% 175.28% 9% 11% 11% 11%
840,045,290 60,985,379 94,348,347 1,263,652,760 1,382,680,611 1,512,920,109
176,332,223 1,376,930,504 1,506,628,380 1,648,542,950
19% 139% 139% 139%
679,148,762 314,405,000 547,928,753 Err:509 Err:509 Err:509
1823143858 1047095741 (465,944,877) Err:509 89,862,133 98,326,560
840,045,290 60985379 1,154,871,404 1,263,652,760 1,382,680,611 1,512,920,109
101385193 45,370 51,722 58,963 67,218
- - - -
688,881,157 Err:509 1,472,483,780 1,611,179,451
8/8/2019 MFI NCC Bank XL Reports
23/34
688,881,157 1,345,727,403 1,472,483,780 1,611,179,451
8/8/2019 MFI NCC Bank XL Reports
24/34
2013E Terminal Normalized Other assumptions
1301416460 $1,301,416,460 Weighted sales growth
9%
242,380,997 242,380,997 Average COGS/Sales
1,059,035,463 1,059,035,463
81% 1 Average Gross margin
910,637,835 910,637,835
1 Average as % of sales
-
Average as % of sales
-
910,637,835 910,637,835
148,397,628 148,397,628
11%
1,655,427,319 1,655,427,319
1,803,824,947 ( ) 1,803,824,947
139%
Err:509 -
107,588,281 148,397,628
1,655,427,319 1,655,427,319
76,628 76,628
- -
1,762,938,971 - 1,803,748,319
ac
8/8/2019 MFI NCC Bank XL Reports
25/34
1,762,938,971 -
8/8/2019 MFI NCC Bank XL Reports
26/34
Terminal growth rate
2005 2006 2007 2008 2009
Net Profit 0 0 0 0 0
Stockholders equity 0 0 0 0 0
ROE #DIV/0! ### #DIV/0! #DIV/0! #DIV/0!
Dividend ### ### ### ### ###
Percentage of Dividend on net profit #DIV/0! ### #DIV/0! #DIV/0! #DIV/0!
(1 - payout ratio) #DIV/0! ### #DIV/0! #DIV/0! #DIV/0!
Sustainable growth/Terminal growth ra #DIV/0! ### #DIV/0! #DIV/0! #DIV/0!
8/8/2019 MFI NCC Bank XL Reports
27/34
(Mean )
#DIV/0!
8/8/2019 MFI NCC Bank XL Reports
28/34
Terminal growth rate
2005 2006 2007
Net Profit 45448000 49916000 169363000
Stockholders equity 219585000 250751000 363855000
ROE 0.21 0.20 0.47
Dividend ### 18750000 ###
Percentage of Dividend on net profit 0.36 0.38 0.11
(1 - payout ratio) 0.64 0.62 0.89
Sustainable growth/Terminal growth ra 0.13 0.12 0.41
8/8/2019 MFI NCC Bank XL Reports
29/34
2008 2009 (Mean )
189627000 211028000
562934000 735091000
0.34 0.29
### ###
0.18 0.19
0.82 0.81
0.28 0.23 23.61%
8/8/2019 MFI NCC Bank XL Reports
30/34
(TK. '000) 2005
Accounts: 2005
Current Assets
Current Liabilities
Net working capital
Net changes in working capital
Sales Growth Rate
8/8/2019 MFI NCC Bank XL Reports
31/34
Changes in Net Working Capital
206 2007 2008 2009E 2010E 2011E 2012E
### 0 #VALUE! #VALUE! #VALUE! #VALUE!
### 0 #VALUE! #VALUE! #VALUE! #VALUE!
101385193 0 #VALUE! #VALUE! #VALUE! #VALUE!
### #VALUE! #VALUE! #VALUE! #VALUE!
8/8/2019 MFI NCC Bank XL Reports
32/34
2013E
#VALUE!
#VALUE!
#VALUE!
#VALUE!
8/8/2019 MFI NCC Bank XL Reports
33/34
Competitor in the Industry -0.01
Market Change 0.01
Customer Need 0.02Raw Material Market 0.02
Output Market 0.05
Government Regulation 0.01
Changes in other Situations 0.01
Influence of other factors 0.01
YearlySales Growth #DIV/0!
Predicted sales growth 0.12
Assume that all other factors are not affected by the external and internal influences
Average Gross profit margen #DIV/0!
Average Cost of goods sold #VALUE!
Average Operating Expenses 0.00%
Distribution and selling expenses 0.00%
Year 2008
Dep. For the gross PP&E 0
Tax Rate 27.50%
8/8/2019 MFI NCC Bank XL Reports
34/34
Depriciation Calculation
2009E 2010E 2011E 2012E 2013E
#VALUE! #VALUE! #VALUE! #VALUE! #VALUE!