Higher Impairment Charges and Rise in Interest Expenses Leads to Decline in Net Profit by 49.39% of Mirmire Laghubitta for Q1
Sun, Nov 13, 2022 11:20 AM on Latest, Financial Analysis, Stock Market,
Mirmire Laghubitta Bittiya Sanstha Limited (MMFDB) published the first-quarter report of FY 2079/2080 with the decline of 49.39% in Net Profit. As per the report published by the company, the net profit increased to Rs. 2.82 crore as compared to Rs. 5.58 crore in the corresponding quarter of the previous year.
The borrowings of the company increased by 1.35% to Rs. 5.53 Arba which was Rs. 4.46 Arba in the corresponding quarter of the previous year. The deposits of the company increased by 29.83% to Rs 2.77 arba. Likewise, The company’s loans and advances increased by 10.17% to 8.95 Arba in this quarter.
The net interest income (core revenue) has increased slightly by 3.60% to Rs. 12.61 crores compared to Rs. 12.17 crores in the corresponding quarter of the previous year.
The interest expenses have increased by 76.31% and the provision for possible losses has increased by huge margin of 242.73% to stand at Rs. 27.06 Lakhs which has vastly impacted the net profit of the company for this period.
The paid-up capital of the company stood at Rs. 53.12 crores in this quarter and its reserve and surplus stood at Rs. 52.59 crores.
The company NPL inclined to 3.47% from 2%. Its cost of funds rises to 11.08% from 7.29% and capital adequacy stands at 9.61%
Its annualized earnings per share (EPS) stand at Rs. 21.28. The net worth per share is Rs. 199.01. The company traded at a P/E multiple of 44.17 times.
Major Highlights:
| Particulars (In Rs '000) | Mirmire Laghubitta Bittiya Sanstha | ||
| Q1 2079/80 | Q1 2078/79 | Difference | |
| Paid Up Capital | 531,205.00 | 435,071.00 | 22.10% |
| Share Premium | |||
| Retained Earnings | 222,799.62 | 246,886.00 | -9.76% |
| Reserves | 303,160.00 | 220,901.00 | 37.24% |
| Borrowings | 5,534,270.80 | 5,460,623.75 | 1.35% |
| Deposits | 2,777,804.19 | 2,139,579.63 | 29.83% |
| Loans & Advances | 8,954,898.11 | 8,127,969.48 | 10.17% |
| Interest Expenses | 206,441.00 | 117,089.83 | 76.31% |
| Net Interest Income | 126,161.65 | 121,773.97 | 3.60% |
| Personnel Expenses | 81,835.21 | 71,731.22 | 14.09% |
| Provision for possible losses | 2,706.00 | 789.55 | 242.73% |
| Net Profit | 28,264.64 | 55,844.75 | -49.39% |
| Net Profit availabe for Distribution | 3,837.00 | ||
| Capital Adequacy (%) | 9.61 | 8.45 | 13.73% |
| NPL (%) | 3.47 | 2.00 | - |
| Cost of Fund (%) | 11.08 | 7.29 | 51.99% |
| EPS (In Rs.) | 21.28 | 51.34 | -58.55% |
| Net Worth per Share (In Rs.) | 199.01 | 207.52 | -4.10% |
| Qtr end PE Ratio (times) | 44.17 | - | - |
| Qtr End Market Price | 940 | ||
