Banking Industry is the important segment among various industries for the economic growth of the country and every business is expected to assure the shareholders maximum returns on their investments. Therefore, the present study is an effort made to analyse the performance and value creation to the shareholders of the select public and private sector banks in India. The secondary data for the analysis for a period of five years from 2010–11 to 2014–15 have been collected from Capitaline Plus Database. Net profit and Economic value added (EVA) are used as the tools to evaluate the performance and value creation in select banks. Correlation has been applied to test the hypothesis framed in the study. The study would be beneficial to the investors and other stakeholders to make right decisions for better earnings and also useful to the bankers to get into new policy framing to improve their performance.
Banks, Net profit, Shareholders value, Economic value Added