management

Running head: NAB COMPANY FINANCIAL ANALYSIS

Nab Company Financial Analysis

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Nab Company Financial Analysis

National Australia Bank (NAB) is the largest financial institution in Australia. The company possesses a broad customer base that has enabled the bank to attain leading market capitalization in Australia. It has allowed the country to expand its operations in New Zealand and parts of Asia making it be ranked as the fortieth largest bank in the world. It was founded in 1982 and trades on the Australian Stock Exchange under NAB. The presence of various products has enabled the bank to diversify its investments thus earning a higher revenue than conventional banks. This article undertakes a financial analysis of the institution regarding examining its sources of capital and break even analysis.

Sources of capital refer to all the available techniques that the company can adopt to raise funds to support its objectives and activities. NAB is a publicly traded company meaning that they sold their shares to members of the public. The amount of money raised from that subscription is a crucial source of revenue. The company also offers various products and services in which they charge commission. It is a substantial source of income. The interest charged on loans and that earned from customer deposits forms a huge source of revenue for the company.

Break Even analysis refers to the instance where the company can recover its entire capital and start using and investing h profit earned. NAB Company has been in operation for more than thirty years. It means that the company has already recovered its initial investment amount and are currently investing and distributing the overall profit earned.


References

ASX. (2017). Asx.com.au. Retrieved 23 May 2017, from http://www.asx.com.au/asx/share-price-research/company/NAB

Annual reports. (2017). Nab.com.au. Retrieved 23 May 2017, from https://www.nab.com.au/about-us/shareholder-centre/financial-disclosuresandreporting/reports-and-presentations