FINANCIAL ANALYSIS

: MANAGEMENT EFFECTIVENESS
Find out how effective management use its employees and assets here are some
.analysis for management effectiveness taken form EFU annual report 2015
.SNO
.1
Revenue per employees
.2
NETINCOME per employees
.3
ROE
.4
ROI
Conclusion

YEAR 2015
million 26.7
3.47million
25.46%
12.50%

Net income per employees and revenue per employees is increase from 2014
.which is 1.57 million and 15.67 million respectively no of employees is 1162
Return on assets and return on equity increased from 2014, which is previously
.6.26 13.95 respectively

: PROFITIBILITY

FIG: taken from EFU Annual reports page #60

: Conclusion
Profit to loss ratio of the company is in favorable condition it shows that the profit
over loss in good condition company earn more profit than the loss as compare
.to last years

: SHAREHOLDER EQUITY

.The ultimate goal of any manager is to increase the shareholder wealth

FIG: taken from EFU Annual reports 2015 BLUE Highlight show year
2015. From left to right year 2014, 2013, 2012, 2011, 2010. Page#60
: CONCLUSION
ROE earning per share earnings growth dividend yield price to earning ration
breakup value for share all above figure show significant growth from last year
.Reason#1: company revenue increase from 18 billion to 31 billion

.Reason # share vale increased because company consistently paid dividend

: MARKET DATA

FIG: taken from EFU Annual reports page#61

: Conclusion
Face value remain same market price and end of the year decrease as compare
to YR2014 but lowest market price per share is 133.78 which is PKR 41.56or 31%
higher than the previous year, Cash dividend per share higher than YR2014. It
.helped market price to remain above 133.78 throughout the year

: PERFORMANCE AND LIQUIFITY

FIG: taken from EFU Annual reports page#61

: CONCLUSION
Current ratios is 1.19 show that every 1 current liabilities there is 1.19 current
asset but we check the liquidity Cash / Current Liabilities they have 10.74 % cash
for their current liabilities liquidity ration of this company is not so good in future
there is the stress on their current assets to pay current liabilities it improve over
.the year from 9.51% in YR2014 to 10.74% inYR2015

: Statement of Value Added

FIG: taken from EFU Annual reports page#62

: Conclusion
The reduced the distribution to their shareholder and use that extra to increased
Employees remuneration this show EFU care more about the Employess which
.show in their increase in revenue

Analysis of Financial Statements

FIG: taken from EFU Annual reports page#63

: CONCLUSION

MOTOR is the most revenue generating for EFUthey have to work to increase the
share of that segment

FIG: taken from EFU Annual reports page#63

: CONCLUSION
Expense and claim is increase in YR2015 which effect their profit this year

:CONCLUSION

.Liabilities are decrease in YR2015 but still 1%hiher than equity

: ROE COMPETETORS
jubliee
efu
adamjee

2015
41%
25.46%
18.10%

2014
43%
13.95%
14.40%

2013
42%
11.69%
16.90%

2012
31%
14.05%
5.80%

2011
26%
5.61%
-0.40%

2010
13%
-4.31%
4.90%

%05
%04
%03
eeilbuj
ufe

%02

eejmada
%01
%0
0102

1102

2102

3102

4102

5102
%01-

:CONCLUSION
Return on equity of JUBLIEE INSURANCE is far better than EFU AND ADAM JEE
:PROFIT AFTER TAX
jubliee
efu
adamjee

2015
6%
54.64%
33.00%

2014
6%
23.89%
29.80%

2013
6%
-12.31%
35.70%

2012
5%
64.00%
11.10%

2011
5%
13.00%
1.90%

2010
3%
8.00%
7.00%

%07
%06
%05
%04
eeilbuj

%03

ufe

%02

eejmada

%01
0102

1102

2102

3102

4102

%0
5102
%01%02-

: Conclusion
Profit after tax is increase but it is quiet unsure as shown in year 2013 there is
.uncertainty in EFU profit. Jubilee life insurance profit is low but there is certainty