The bank earned a net profit of Rs 1.70 billion in the fourth quarter of the last FY compared to Rs 2.25 billion of the corresponding period of the previous FY. The bank has a distributable profit of Rs 1.11 billion.
The decline in net profit can be attributed to the measures taken by NRB amid the pandemic. Because of which, interest income, as well as bad debt of the bank, is also increasing.
In the review period, the bank earned a net interest income of Rs 4.21 billion compared to Rs 4.20 billion of the review period of the previous FY.
Meanwhile, its operating profit decreased to Rs 2.41 billion compared to Rs 3.22 billion of the review period of the previous FY. During the period, the impairment charge of the bank increased to Rs 883.4 million from Rs 218.2 million.
In the review period, the non-performing loan also increased to 0.48 percent from 0.08 percent.
In the review period, the bank collected deposits of Rs 106 billion and extended loan of Rs 90.56 billion. The bank with paid-up capital of Rs 8.80 billion has a reserve fund of Rs 2.82 billion and shareholders fund of Rs 1.11 billion.
The bank has EPS of Rs 19.35, net worth per share to Rs 144.83 and P/E ratio of 17.05 times.
The bank has CCD ratio of 74.72 percent, cost of fund at 6.66 percent, base rate is at 8.62 percent and spread rate at 3.47 percent.
