Global IME Bank Reports 3.04% Profit Surge in Q1 of FY 2080/81, Yet Faces Challenge as NPL Soars to 4.38%
Fri, Nov 3, 2023 9:03 AM on Financial Analysis, Company Analysis, Latest,
Global IME Bank Limited (GBIME) has disclosed its financial performance for the first quarter of the fiscal year 2080/81, reporting a decent surge in its net profit. The bank achieved a net profit of Rs. 1.22 Arba during this quarter, marking a 3.04% increase compared to the corresponding quarter of the previous fiscal year, where it earned Rs. 1.18 Arba.
Remarkably, the bank exhibited significant growth in both its net interest income and operating profit. The net interest income observed a substantial rise of 49.92%, reaching Rs. 4.8 Arba, while the operating profits also rose to Rs. 1.79 Arba for the same period of FY 2080/81.
Notably, customer deposits increased to Rs. 4.43 Kharba, marking a nearly 3.91% rise, whereas loan disbursements also experienced an uptick of 0.27%, totaling Rs. 3.57 Kharba in the first quarter of FY 2080/81.
The annualized earnings per share (EPS) for the year are reported at Rs. 13.71, with a net worth per share of Rs. 168.30. However, impairment charges showed a sharp incline of 144.52%, amounting to Rs. 1.78 Arba in Q1 of the FY 2080/81.
However, there's an evident concern as the Non-Performing Loans (NPL) witnessed a significant rise by 108.57%, soaring to 4.38% in the first quarter of the current fiscal year. This increase is notable compared to the 2.10% recorded in the corresponding quarter of the previous fiscal year.
GBIME has distributable profits of Rs. 3.32 Arba, maintaining a paid-up capital of Rs. 35.77 Arba and reserves and surplus amounting to Rs. 21.10 Arba in the first quarter of the fiscal year 2080/81.
Major Highlights:
* Figures are of Immediate Previous Year Quarter Ending
| Particulars (In Rs '000) | Global IME Bank Limited | ||
|---|---|---|---|
| Q1 2080/81 | Q1 2079/80 | Difference | |
| Paid Up Capital | 35,771,060.00 | 35,771,060.00* | 0.00% |
| Retained Earnings | 3,323,302.00 | 2,956,956.00* | 12.39% |
| Reserves | 21,106,714.00 | 19,954,741.00* | 5.77% |
| Deposits | 443,001,663.00 | 426,325,446.00* | 3.91% |
| Loans & Advances | 357,373,059.00 | 356,394,700.00* | 0.27% |
| Net Interest Income | 4,801,588.00 | 3,202,704.00 | 49.92% |
| Personnel Expenses | 1,424,901.00 | 941,828.00 | 51.29% |
| Impairment Charges | 1,781,772.00 | 728,689.00 | 144.52% |
| Operating Profit | 1,798,587.00 | 1,690,087.00 | 6.42% |
| Net Profit | 1,225,754.00 | 1,189,545.00 | 3.04% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | 3,323,302.00 | ||
| Capital Adequacy (%) | 13.27 | 12.78 | 3.83% |
| NPL (%) | 4.38 | 2.10 | 108.57% |
| Cost of Fund (%) | 8.17 | 8.17 | 0.00% |
| Annualized EPS (In Rs.) | 13.71 | 13.30 | 3.04% |
| Net Worth per Share (In Rs.) | 168.30 | 164.05 | 2.59% |
| Qtr end PE Ratio (times) | 14.74 | ||
| Qtr End Market Price | 202 | - | - |
