A Study On Financial Performance of Indian Commercial Banks

Bank plays a crucial role in the development of Indian economy.A sound and an efficient banking system in developing countries provide the necessary financial inputs to the economy.Banking industry is one of the integral parts of the financial system.Commercial banks form a eminent part of the country's Financial System.Commercial Banks are profit making financial institutions which accept deposits from general public and provides loan to individuals like household, entrepreneurs, businessmen etc.The prime objective of commercial banks is to earn profit in the form of interest, commission etc. Reserve Bank of India is the statutory body which regulates the operations of the commercial banks.Performance of banking sector is an effective measure to check the performance of any economy.Public sector banks are the prime-movers and leaders in achieving the social objectives of our economy.This study focused on the profitability of public sector banks in India and attempted to found which bank is performing better in terms of profitability.The study is totally based on the secondary data.The study found that the average amount of net profit is observed in case of SBI and lowest is observed in Andhra Bank.Negative mean is also observed in many of the banks.And it is also found that the highest variation is in SBI and lowest for Indian Bank.Compared to all the other public sector banks SBI is performing better in terms of profitability.