It’s a key measure of a bank’s performance.
Higher growth indicates more earnings and potential expansion.
Net Interest Margin
This KPI reflects the profitability of a bank’s core activities.
A higher NIM means more profit from lending.
Loan to Deposit Ratio
It measures a bank’s liquidity.
A lower ratio indicates the bank has more liquidity and less financial risk.
This indicates the quality of the bank’s loan portfolio.
Lower numbers suggest fewer risky loans.
Return on Equity
This KPI measures a bank’s profitability.
Higher ROE indicates the bank is using its equity more efficiently.
Understanding KPIs like Revenue Growth, Net Interest Margin, Loan to Deposit Ratio, Non- Performing Loans, and Return on Equity can help you decode a bank’s performance.
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