Leasing Industry in Pakistan: A Comparison of Financial Performance of Leasing Companies
Hassan Mobeen Alam, Ali Raza, Muhammad Farhan, Muhammad Akram

Abstract
Leasing institutions or companies are the major component of financial system. The intend of this study is to classify the leasing companies on the basis of financial ratios and to make horizontal and as well as vertical analysis among leasing companies for the period 2006-2009. Ten leasing companies out of ten companies are analyzed. This study concludes that ranking of leasing companies on the base of net investment in finance lease is different from the ranking based on return on assets (ROA), return on equity (ROE), return on revenues (ROR) and lease ratio (LR) and the ratios such as ROA, ROE, ROR and LR are negative in 2009 due to the net loss after tax. This study is only and only for academic purposes. Furthermore, all the results of study are fully matched with the results reported by State Bank of Pakistan (central bank of Pakistan).

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