Interpretation:

A good margin will vary considerably by industry, but as a general rule of thumb, a
10% net profit margin is considered average, a 20% margin is considered high (or
“good”), and a 5% margin is low.

Return on asset:

𝒏𝒆𝒕 𝒊𝒏𝒄𝒐𝒎𝒆
𝒓𝒆𝒕𝒖𝒓𝒏 𝒐𝒏 𝒂𝒔𝒔𝒆𝒕 =
𝒕𝒐𝒕𝒂𝒍 𝒂𝒔𝒔𝒆𝒕𝒔
=0.46%

Interpretation:

Return on assets gives an indication of the capital intensity of the company, which
will depend on the industry; companies that require large initial investments will
generally have lower return on assets. ROAs over 5% are generally considered good.

Return on equity:

ROE is measured how the stockholder fared during the year.

𝒏𝒆𝒕 𝒊𝒏𝒄𝒐𝒎𝒆
𝒓𝒆𝒕𝒖𝒓𝒏 𝒐𝒏 𝒆𝒒𝒖𝒊𝒕𝒚 =
𝒕𝒐𝒕𝒂𝒍 𝒆𝒒𝒖𝒊𝒕𝒚

= 9.98%

Interpretation:

Return on equity is more important to a shareholder than return on investment

(ROI) because it tells investors how effectively their capital is being reinvested.
Therefore, a company with high return on equity is more successful to
generate cash internally. Investors are always looking for companies with high and
growing returns on equity.

market value measures:

𝒏𝒆𝒕 𝒊𝒏𝒄𝒐𝒎𝒆
𝑬𝑷𝑺 =
𝒔𝒉𝒂𝒓𝒆 𝒐𝒖𝒕𝒔𝒕𝒂𝒏𝒅𝒊𝒏𝒈

=1.7289

Interpretation:
55
  EPS indicates how much money a company makes for each share of its stock,
and is a widely used metric to estimate corporate value. A
higher EPS indicates greater value because investors will pay more for a
company's shares if they think the company has higher profits relative to its
share price

𝐩𝐫𝐢𝐜𝐞 𝐩𝐞𝐫 𝐬𝐡𝐚𝐫𝐞

𝐩𝐫𝐢𝐜𝐞 𝐞𝐚𝐫𝐧𝐢𝐧𝐠 𝐫𝐚𝐭𝐢𝐨 =
𝐞𝐚𝐫𝐧𝐢𝐧𝐠𝐬 𝐩𝐞𝐫 𝐬𝐡𝐚𝐫𝐞

=5.6times

Interpret:

 The P/E ratio shows what the market is willing to pay today for a stock based
on its past or future earnings. A high P/E could mean that a stock's price is
high relative to earnings and possibly overvalued.
 Conversely, a low P/E might indicate that the current stock price is low
relative to earnings

Market to book ratio:

𝐦𝐚𝐫𝐤𝐞𝐭 𝐯𝐚𝐥𝐮𝐞 𝐩𝐞𝐫 𝐬𝐡𝐚𝐫𝐞

𝐌 𝐭𝐨 𝐛 𝐫𝐚𝐭𝐢𝐨 =
𝐛𝐨𝐨𝐤 𝐯𝐚𝐥𝐮𝐞 𝐩𝐞𝐫 𝐬𝐡𝐚𝐫𝐞

=0.53times

Interpret:
A market-to-book ratio above 1 means that the company's stock is overvalued.
A ratio below 1 indicates that it may be undervalued; the reverse is the case for
the book-to-market ratio. Analysts can use either ratio to run a comparison on
the book and market value of a firm

56
 Critical analysis:

Part 1

a. Financial Analysis (Detailed Ratio Analysis, Horizontal Analysis, Vertical

Analysis of the organization for last 3 years)

Ratios 2019 2018 2017

Current ratio 1.02 times 3.08 times 1.08 times
Cash ratio 0.08 times 0.21 times 0.06 times
NWC ratio 0.027 times 0.66 times 0.08 times
Long term solvency measure
Total-debt ratio 0.95 0.95 0.94
Debt-to equity 23 7.1 16.5
ratio
Long-term-debt 0.49 0.51 0.32
ratio
Time-interest 0.40 0.39 0.40
earned
Assets turnover ratio
Fixed assets turn 1.22 1.52 1.50
over
Total asset turn 0.02 0.02 0.03
over
Profitability measure
Profit margin 17.6% 17.4% 17.9%
ROA 0.46% 0.50% 0.55%
R0E 9.98% 9.78% 9.02%
MARKET VALUE MEASURE
Price -earnings 0.56times 7.5times 8.9times
ratio
Market to book 0.53 times 0.75times 0.79times
ratio

Interpretation:

57
 From the above calculated figures, it has been assumed that the current ratio has
fluctuated over three years’ time span. As in the year 2018 SBL had the high ability to
meet its current liabilities from its current assets. Current ratio of 2019 posses’ low
ability to meet its current liabilities as compared to 2017-year ratio and then its lower
in 2019 that indicate the less liquid position of the bank.
IN 2017 working capital was low but in 2018 year it’s increased and then in 2019 it’s
more decreased. working capital indicates that the business has decreased current
assets and increased current liabilities. That is negative sign for SBL in 2019 year.
Bankers look at net working capital over time to determine a company’s ability to
weather financial crises.

Time Interest Earned ratio is an indicator of a company’s ability to meet the interest
payments on its debt. From the calculated figures, in 2018 0r 2019 SBL had high times
interest earned ratio so SBL had ability to meet its interest payments. In 2018 this ratio
slightly decreased that’s mean SBL had been less able to meet its interest payments on
the debt

The amount of financial leverage implies risk to creditors and owners. In 2017 debt
ratio was 0.94 and it is same position in 2018 or 2019 debt ratio was 0.95

If debt ratio has increased that’s mean more debt in relation to equity. Above
calculations shows that SBL had low debt ratio in 2018 year that was positive point for
SBL. But in 2019 its increased from 2017, If debt ratio is increased that’s mean more
debt in relation to equity and SBL is being financed by creditors rather than by internal
positive cash flow which is dangerous trend. In 2019 its increased again

Total capitalization gets higher, so does risk and the chance of bankruptcy. For the
above figures, in 2018 year this ratio increase form 2017 year so a high ratio shows that
a company is financially weak; the burden of debt may increase default risk. In 2019
year, this ratio deceasing strongly that’s a pretty good situation of capitalization.

This ratio is used for the measurement of the profitability of the bank whether bank
generate favorable profit or not. that is show in 2017-year net profit margin ratio
increased that indicates a more profitable bank that has better control over its costs and
in 2019&2018 this ratio decreasing strongly because of high sales overheads.

This particular ratio indicates how profitable a company is relative to its assets. ROA
ratio illustrates how well management is utilizing the company’s assets to make a profit.
In 2017 ROA ratio had higher so it was indicating higher the return, the more efficient
management was in utilizing its asset base. This ratio decreased in 2018 and again
slightly decreases in 2019.

58
Return on equity shows how much profit a bank earned in comparison to the total
amount of shareholder’s equity. In 2017 or 2018 SBL had 9.02% to 9.78% return on
equity that’s a pretty good state of SBL. But 2019 it’s slightly increase.

This particular ratio shows to measure a company’s efficiency in using its assets. From
the ratio, it’s showing that the total assets turnover is increasing in 2019 as compared
to previous and subsequent year and assets are utilizing efficiently.

Market ratios are commonly used by the investors to assess the performance of a
business as an investment and also the cost of issuing stock.

Horizontal analysis:
This method of analysis is simply comparing the same item in a company's financial
statements from two or more comparable periods, and then calculating the difference.

Formula H. A= Current Year-Previous year/Previous year*100

Horizontal analysis allows the assessment of relative changes in different items over
time. It also indicates the behavior of revenues, expenses, and other line items
of financial statements over the course of time. Accounting periods can be two or
more than two periods

59
BALANCE 2019 2018 2017
SHEET

Cash and balances 33961308 26019679 1943256

with treasury
banks

Balances with 2,074533 1179612 1151015

other banks

Lending to 1202243 3921270 6502687

financial
institutions

Investments 177056116 146645533 117428516

Advances 204901313 186475183 164292915

Fixed Assets 8328905 6238673 6464678

Intangible Assets 466686 454536 118787

Deferred tax 0 0 0
Assets

Other Assets 14549678 11563302 9831441

442540782 382497788 325,219,295

60
 Liabilities

Bill Payable 3960957 3993525 4895447

Borrowing 95705109 81962917 64584236

Deposits and other 302082985 262378761 227304100

accounts

Liabilities against 0 0 0
assets subject to
finance lease

Subordinate debts 6995200 6996400 2997600

Deferred tax 951451 120054 935711

Liabilities

Other Liabilities 12631477 9057257 5997602

422327187 364508874 306714696

Net assets 20213695 17988874 18504599

Share capital 11024636 11024636 11024636
Reserves 2490432 2109227 1752494
Surplus on 1893455 542637 2095099
revaluation of asset
Unappropriated 4805072 4312374 3632370
profit

61
 Soneri bank limited
HORIZONTAL ANALYSIS OF BALANCE SHEET
Dec 31 (2019,2018,2017,2016)
Interpretation of Horizontal Analysis of Balance Sheet of Soneri
Bank Limited:
Horizontal Analysis of the Bank Balance Sheet has been prepared by taking the year
2017 as the base year add the remaining years as compared to the base year. The most
liquid asset of the Bank such as cash and balances with treasury Bank has decreased
from the year 2018 to 2019 that is 34% in 2008 and 31% in 2019, whereas other
liquid assets such as balances with other Banks and lending to financial and other
institutions have shown an increasing trend such as balances with other Banks is 3%
in 2018 and 76% in 2019 and lending to financial institutions is -40% in 2018 and

-69% in 2019 show negative trend. The reason for this trend might be the uncertain
less rate of lending in other financial institution political and law and order situations
in Pakistan. All other assets such as mark-up accrued in local currency, rent and
repayments, suspense account, stamps on hand etc. shows an increasing trend as well
as fixed assets, advances and investment also have shown a positive trend. The overall
effect is increased in total assets.

Liabilities especially current liabilities have shown a significant decrease in 2010 to

2019. Bills payable decreases -1% in 2019 to -18% in 2018 and similarly Borrowings
from 26.9% to 17% and Deposits and other accounts from 15.4% to 15%. This
decrease in current liabilities depicts that the Bank is performing its operations un
successfully. Percentage of sub-ordinated loans is 0% in 2019 and 133% in 2018.
Other liabilities also decrease from 51% to 39%.

In the end the net assets increased from -3 to 12%. Soneri Bank Limited shows
progress in all fields including the financial position due to this the market share of
Soneri Bank also increases.

62
 2019 vs 2018 2018 vs 2017 2017 vs 2016

Cash and balances

with treasury
banks 31% 34% 6%

Balances with
76% 2.484503% 40%
other banks

Lending to
financial
-69% -39.6977% 18%
institutions

Investments 21% 24.88068% 0%

Advances 10% 13.50166% 31%

Fixed Assets 34% -3.496% 31%

Intangible Assets 3% 282.6479% -42%

Deferred tax
0 0 0
Assets

Other Assets 26% 17.6% 11%

26% 18% 11%

Liabilities

Bill Payable -1% -18.4237% 18%

Borrowing 17% 26.90855% 66%

Deposits and other

15% 15.43072% 8%
accounts

Liabilities against
assets subject to 0 0 0
finance lease

Subordinate debts 0% 133.4001 26.90855

63
 Deferred tax
639% -87.1698% 18%
Liabilities

Other Liabilities 39% 51.01464% -7%

16% 19% 16%

Share capital 0% 0% 0%

Reserves 18% 20% 23%

Surplus on
revaluation of 249% -74% -12%
asset

Unappropriated
11% 19% 5%
profit

12% -3% 1%

Soneri bank limited

HORIZONTAL ANALYSIS OF INCOME STATEMENT
Dec 31 (2019,2018,2017,2016)

64
 Capital Gain (192) -137% 519 -63% 1399 24%
and Dividend
Income
Other income 37 -21% 47 15% 41 41%

Total Income 41650 68% 24860 13% 21960 8%

Mark-up / Return / Non Interest

Expense 30864 111% 14647 22% 12032 11%

Mark-up /
Return / Non
Interest
Expensed
Non mark-up / 8129 10% 7380 5% 7003 9%
interest
expenses
(Reversal) / (589) 730% (71) -191% 78 59%
Provisions and
write-offs - net
Taxation 1340 20% 1120 -6% 1187 -1%

Total 39744 72% 23076 14% 20300 10%

Expenses
Profit after 1906 7% 1784 7% 1660 -12%
taxation

Interpretation of Horizontal Analysis of Income Statement of Soneri

Bank Limited:
Horizontal Analysis is done by taking the year 2017 as the base year and the remaining
years of the bank income statement when compared with the years 2018 and 2019
shows the following results. Non mark-up interest earned also increased from 17% to
80% the non-mark-up interest income is a major source of the bank income and includes
fee, commission, dividend income, income for dealing in foreign currencies and other
incomes. There is increase in interest expense as compared to 2018 i.e. in 2018 the
interest expense is -191% and 730% in 2019. Total expense in 2018 is 12% and
increased in 2019 to 72% which is much more as compared to 2018. So the overall
profit after taxation of the bank is same in2018 or 2019 unappropriated profit brought
forward, transfer from surplus on revaluation of fixed assets-net of tax

65
Vertical analysis of balance sheet items:
This type of analysis illustrates the relationship of certain components compared to the
whole, or the financial stability of a company. There are several different types of ratios
or indexes that may help us determine where the company currently stands in
relationship to where it wants to go.

The most common form of Vertical Analysis is using percentages to show one account's
relationship to another.

Vertical analysis of income statement: = income statement/

total sales
Vertical analysis of balance sheet: = balance sheet item/ total
assets (liabilities)

66
 2019 vs 2018 2018 vs 2017 2017 vs 2016

Cash and balances

with treasury
banks 8% 7% 6%

Balances with
0% 0% 0%
other banks

Lending to
financial
0% 1% 2%
institutions

Investments 41% 38% 36%

Advances 46% 49% 51%

Fixed Assets 2% 2% 2%%

Intangible Assets 0% 0% 0%

Deferred tax
0 0 0
Assets

Other Assets 3% 3% 3%

100% 100% 100%

Liabilities

Bill Payable 1% 1% 2%
Borrowing 22% 21% 20%

Deposits and other

67% 69% 69%
accounts

Liabilities against
assets subject to 0 0 0
finance lease

Subordinate debts 2% 2% 1%

67
 Deferred tax
0% 0% 0%
Liabilities

Other Liabilities 3% 2% 2%

95% 95% 94%

Share capital 2% 3% 3%

Reserves 1% 1% 1%

Surplus on
revaluation of 0 0 1%
asset

Unappropriated
11% 19% 5%
profit

Interpretation of Vertical Analysis of Balance Sheet of Soneri Bank

Limited:
The financial position of the Soneri Bank is continued to be excellent. The Vertical
Analysis of the Balance Sheet of Soneri Bank shows fluctuation in its assets and
liabilities but also shows a positive trend. When different items of the Balance Sheet
are compared with total assets the following results is obtained. The cash and balance
ratio is 6% in 2017 and 7% and 8% in 2018 and 2019, balances with other banks shows
the 0 trend and are same in 2018 and in 2019.lending to financial institution also shows
a negative trend 2% in 2017 1% in 2018 and 0% in 2019. The advances were 51% in
2017 and decreased in 2018 to 49% and then decreased in 2009 to 41%. The Vertical
Analysis of the fixed assets shows the similar trend, 2% in 2017, 2018, 2019, the
decreased in advances in 2018 and 2019 was due to the decrease in loans, cash credits
and running finance.

Bills payable as the percentage of current assets is 2% in 2017 and 1% in 2018 but
remains same in 2019. Borrowing increases from 20% in 2017 to 21% in 2018 and then
22% in 2019. the increase in 2019 was due to the increase in borrowing outside the
Pakistan. As compared to 69% in 2017 or 2018 the deposits decrease in 2019 is 67%
the reason for this decrease in deposit is decrease in saving and current deposits. Other
liabilities also have shown an increase from 2% in 2017 or 2018 and 3% in 2019.
Shared holders Equity is 6% in 2007 and decrease 5% in 2018 and then decreases to
5% in 2019. However, the overall trend is positive and strengthens the banks financial
position.
68
 2019 2019vs 2018 2018 vs 2017 2017 vs
2018 2017 2016

Interest / Return / Non Interest Income

Mark-up / 38790 93% 21600 87% 18504 84%

Return /
Interest Earned
Fee, 3015 7% 2694 11% 2016 10%
Commission
and Exchange
income
Capital Gain (192) 0% 519 2% 1399 6%
and Dividend
Income
Other income 37 0% 47 0% 41 0%

Total Income 41650 100% 24860 100% 21960 100%

Mark-up / Return / Non Interest

Expense 30864 74% 14647 59% 12032 55%

Mark-up /
Return / Non
Interest
Expensed
Non mark-up / 8129 19% 7380 29% 7003 32%
interest
expenses
(Reversal) / (589) -1% (71) 0% 78 0%
Provisions and
write-offs - net
Taxation 1340 3% 1120 5% 1187 5%

Total 39744 95% 23076 93% 20300 92%

Expenses
Profit after 1906 5% 1784 7% 1660 8%
taxation

69
Interpretation of Vertical Analysis of Income Statement of Soneri Bank Limited:
The vertical Analysis of the Income Statement indicates that the Net Mark-up for
the Soneri Bank is favorable and decrease from 34% to 32% and then decreases to
20.4% in 2019, the decrees is due to the higher interest rate this is a positive trend
because a bank principle revenue source is usually interest from loans and interest.
Total non-mark-up interest income as a percentage of profit shows a decreasing
trend and decreases from 11% to 10% in 2018 to 7% in 2019, usually falling
interest rates are positive for a bank’s interest and because of this bank profit
increases. Taxation for the bank increase from 2017 to 2019 Soneri Bank has
already achieved its target which is settled done by the higher authorities of the
bank. The bank income statement shows that the bank net income for the year
2019 has increased as compared to previous year.
The Soneri bank has achieved broad based growth in non-interest income during
the year just ended with all categories but mortgage banking income showing
improvements.

Competitive analysis with same industry:

2019 Soneri HBL Meezan Alfalah

bank

Total asset 442,540,782 3,227,132,397 1,126,114,963 1,067,110,379

Total 422,327,187 3,002,380,885 1,063,334,017 977,827,192
liability
Shareholder 20,213,595 224,751,512 61,611,133 89,283,187
equity
ROA 0.46% 0.5% 0.27% 1.26%
ROE 9.98% 8.1% 0.25% 15.65%
Profit 17.6% 12.3% 27% 23%
margin
Price 5.6% 15.1% 8.02% 6.39%
earnings
ratio
Share 9.80 158.80 91.05 33.27
price
EPS 1.7346% 10.45 11.84 7.15

70
Interpretation:
Over all HBL got high rank in all banks their assets are more than others there share
price are higher than other banks.

A conclusion can be only being made if necessary information is provided about the
financial analysis of all banks can be viewed. In the light of information about these
banks which provided in this report the work performance, efficiency, quality of
customer services, market value and financial position of the HBL can be seen. It made
a consistent growth. In spite the of political change in the country, change in the govt.
policies external economic factor increase in inflation decrease in saving habits of the
people, more reliance on foreign loans, the HBL has sustained its profitable position.
After studying and a thorough financial analysis of HBL for latest years. HBL growths
in its assets 3 trillion which is a positive sign of growth of bank. The liability of HBL
had been decreased year by year as compared to total assets. On the other hand, total
equity of the HBL bank for the had increase because of the increase in the net assets,
and secondly the investor confidence on the banks increased which in turn increase the
intangible assets of the bank. i.e., Good will in this competitive market. The return on
equity (ROE) of the bank had shown fluctuation due to increase inflationary pressure
and computerization of different branches and expansion of new branches within and
outside the country. The financial analysis of Soneri bank or last three years had shown
remarkable growths in its assets have increased from which is a positive sign of growth
of bank. The liability of SNBL had been remained consistently year by year as
compared to total assets. On the other hand, total equity of the SNBL had also been
remained consistent because of the working capital, and secondly the investor
confidence on the bank because of government bank which enhanced because of the
trust of the investor which in turn increase the intangible assets of the bank i.e. good
will in this competitive market.

Future outlook:

SNBL team committed to taking the Bank to the next levels of success. Key features of
multi-pronged plan are as follows:

• SNBL wants to be viewed as the leader in transactional convenience. To get top

market share, they will continue to invest in alternate channel payment capabilities and
services as well as getting a larger share of transaction driven businesses like
remittances, cash management, payroll and trade.

• Managements want to continue to invest in branches to make them more sales and
service oriented. Through introduction of new sales and service model, strengthened

71
transaction processing and leading financial products menu, aspire to achieve this
ambition.

• Not any organization can deliver without investing in its employees. In order to
achieve growth targets, management have to further strengthen reserve of talent and
leadership powered by a strong performance culture and training.

• Finally, for an organization, controls and efficiency is central to existence.

Management’s strategy to build stronger controls, develop a unit cost culture. SNBL
strengths in terms of its franchise, balance sheet and reputation are unparalleled. Entire
team task is to ensure that continue to go from strength to strength. Bank’s performance
in 2019 is a verification of the commitment & passion that the team brings to SNBL
and the strong support of the shareholders.

SWOT Analysis:

STRENGTH:

 As mentioned in the report, environment in Soneri in Soneri Bank is favorable

for learning and as an internee I was given full support and encouraged to
diffuse the knowledge with my learning capabilities. Anyone wanting to be
blended in a professional banking environment can be immensely benefited by
the Soneri bank’s professional environment. More opportunities for career
development thus resulting in more dedicated work force
 Soneri bank pays special attention to the SME sector thus resulting in a more
professional and focused approach for the profound sector. So there is more to
learn and serve for this important sector.
 Job rotation for the staff in Soneri bank is a regular practice. It gives the
employees insight in all aspects of general banking thus making them quite
comprehensive about the minute details to be an effective banker
 Growth in system share, increasing outreach & improving profitability. The Pakistan
Credit rating Agency Limited (PACRA) has maintained banks credit rating. SBL has
been awarded an “AA-” for long term and “A1+” for the short term and “A+” for the
Term Finance.

 Excellent Alternate Delivery Channel (ADC) Services e.g. internet banking,

mobile banking, VISA debit card etc.

WEAKNESS:

 As per bank policy, advertising and publicity is not broadly highlighted.

Through advertisement customers could be kept up-to-date with the
product and services. The main focus of SBL is major cities of Pakistan. It
is strongly needed to extend its network and people should be educated

72
 about the functioning of bank. Poor employee development and
promotion.
 No branches of Soneri bank are in any other country. So the bank has to
invite additional cost for communicator banking.

OPPORTUNITY:

 The life cycle of an organization is comprised of threats as well as

opportunities. If we say, today the rates of challenges are too high but
simultaneously the rate of opportunity is also too high. It is obligatory
to try to make progress with consistency as well as to adapt changes with
the need of time, in order to cope up with both conditions.
 In the prevailing scenario, SBL should penetrate further and capture
various corporate customer as well as retail customer by expanding their
network.
 In addition to the excellent routine banking, it has earned a good name
by offering special products like Soneri car finance, Ghar finance and
personal finance. So the penetration of these products could enhance the
market share.
 SBL has launched another division know as Islamic Banking. This new
aspect will also attract a large number of people, who don’t want to deal
with interest bearing bank. If SBL keep focusing on advertisement it
would be good for organization, because promotions make people know
about the products of SBL. Management should also open new branches
is rural areas to capture market share. SBL can enjoy handsome return
its funding base by investing in capital markets in the foreign countries.
 Currently they open new branch in Lahore garden which are under
construction.

THREATS

 In our country, the rate of inflation is increasing along with

unemployment. So due to increase in price of the products, the saving
of the people is decreasing with passage of time. So it is threat for
banking sector.
 In future the deposits of the bank will decreases. The number of banks
in Pakistan increasing with passage of time. Foreign bank like to open
their branches in Pakistan. So it would be threat for SBL.
 SBL has also threat with different bank who are offering the same
product like
o Home finance

73
 o Car Finance
o Running -Finance
o Education Loan
 Soneri bank pays special attention to the SME sector and it is a healthy
practice but other sectors also need to be given proper attention and
priority as well because attention in one sector and negligence in the
other might create an imbalance.

Conclusion of SWOT Analysis

Since SBL has decent strengths and opportunities in the market, its market share is
increasing and it is expanding its branches rapidly. So I concluded that SBL is
adopting and applying on Growth Strategy.

Conclusion:
To summarize the things, I would like to say that in a short span of time Soneri bank
has been successful in achieving a land mark amongst all private banks of Pakistan. It
started its operations in 1992 as public limited company with paid up capital of Rs.300
(M) approx. To develop Soneri Bank Limited into an aggressive and dynamic financial
institution having the capabilities to provide personalized service to the customers with
cutting edge technology and a wide range of products, and during the process to ensure
maximum return on assets with ultimate goal of serving the economy and society.
These branches are located in commercial area These branches are located in
commercial areas They have clearly defined values and norms and they strictly practice
their norms and values.

Now with its focus on the SME sector it has been successful in grabbing attention of a
lot of potential customers. Also it is a bank with a lot of promises for new generation
who want to choose banking as a career. Performance for the sake of performance is
entertained and every individual is given opportunity to rise to higher levels of their
career by taking the test of Soneri bank which if passed is a guarantee to be appointed
directly which is a healthy practice for promoting banking. Also with a less crowded
management and board of directors there are fewer clashes of interests thus resulting in
whole and unified efforts for the betterment of the bank. So in the end I just want to say
that Soneri bank is a good place to be a banker and to excel in the banking field with its
promising facilities and services to the public.

74
Recommendation and suggestion:
Finally, there are some suggestion for Soneri bank limited the suggestion are based on
experience.

o This is a routine practice that in order to give personalized services to the

customer bank staff tries to fill all the columns of AOF with their own
handwriting which is wrong. AOF must be filled in by the customers. Bankers
should avoid filling in the AOF because it can create problem if the address,
title of account or any other information provided by the customer has not
been written properly. Customer may be affected or he may claim that this
information was not provided by him, but if AOF is filled by the customer
then banker cannot be held responsible for any incorrect information provided
by the customer.

o Increase in the number of branches both in rural and urban areas to cater the
needs of ever increasing no of potential clients: - More branches need to be
opened. Obviously suitability and other factors need to be considered but one
can never pluck the fruit out if not try for it. So unless more branches are not
opened more benefits cannot be obtained.

o I have felt that Soneri bank is not very much into advertisement of its services
and products. In this age of competition and mass media advertisement it is hard
for you to be prominent and distinguished. So unless an effective marketing is
not done people will fail to notice an organization even exists.

o Focusing the banking not only to SME but on other potential areas as well: - It
will be favorable to extend the circle of services to more areas of serving.
Because mass production ideas also can be applied to the services sector as well.

75
 References:
 Newsletter
 Brochures
 Discussion with BM OM CSM and RM
 Annual reports Soneri bank 2017 2018 2019
 See Price of share: https://www.psx.com.pk
 https://www.scribd.com/doc/19646500/Internship-Report-Soneri-Bank-
limited

76
Annexures

77