Increase in Interest Expenses & Impairment Charges Led to Decline in Profitability of Jeevan Laghubitta in Q2; Net Profit Decreases by 37.25% and EPS Stands at Rs. 51.20
Sun, Feb 5, 2023 11:17 AM on Latest, Financial Analysis, Stock Market,
Jeevan Bikas Laghubitta Bittiya Sanstha Limited (JBLB) published the second-quarter report of FY 2079/2080 with a decline in Net Profit by 37.25%. As per the report published by the company, the net profit decreased to Rs. 26.47 crores as compared to Rs. 42.91 crores in the corresponding quarter of the previous year.
The company reported distributable profit of Rs. 19.36 crores for this period.
The borrowings of the company have also decreased by 4.10% to Rs. 9.09 Arba which was Rs.9.48 Arba in the corresponding quarter of the previous year. However, the deposits of the company increased by 4.71% to Rs. 9.99 Arba. The company’s loans and advances have decreased by 0.55% to 23.24 Arba in this quarter.
The net interest income (core revenue) has decreased by 4.87% to Rs. 79.45 Crores compared to Rs. 83.52 Crores in the corresponding quarter of the previous year.
The provision for possible losses has increased by huge 263.96% to stand at Rs. 15.93 Crores, which has also impacted the profitability of the company for this period.
The paid-up capital of the company stood at Rs. 1.03 arba in this quarter and its reserve and surplus stood at Rs. 2.02 Arba.
The company's non-performing loans stand at 2.83% till this quarter.
Its annualized earnings per share (EPS) stand at Rs. 51.20. The net worth per share is Rs. 295.94.
Major Highlight
| Particulars (In Rs '000) | Jeevan Bikas Laghubitta | ||
| Q2 2079/80 | Q2 2078/79 | Difference | |
| Paid Up Capital | 1,034,280.00 | 1,034,280.00 | 0.00% |
| Retained Earnings | 1,173,728.76 | 980,116.57 | 19.75% |
| Reserves | 852,848.94 | 773,086.82 | 10.32% |
| Borrowings | 9,092,529.34 | 9,481,606.94 | -4.10% |
| Deposits | 9,996,695.96 | 9,546,691.37 | 4.71% |
| Loans & Advances to Customers | 23,244,940.27 | 23,372,815.63 | -0.55% |
| Net Interest Income | 794,510.72 | 835,225.09 | -4.87% |
| Personnel Expenses | 354,503.72 | 322,999.85 | 9.75% |
| Impairment Charges | 159,352.47 | 43,782.78 | 263.96% |
| Operating Profit | 378,269.51 | 602,787.59 | -37.25% |
| Net Profit | 264,788.66 | 421,951.31 | -37.25% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | 193,612.19 | ||
| Capital Adequacy (%) | 12.54 | 11.08 | 13.18% |
| NPL (%) | 2.83 | 0.75 | |
| Cost of Fund (%) | 10.22 | 9.24 | 10.61% |
| Annualized EPS (In Rs.) | 51.20 | 81.59 | -37.25% |
| Net Worth per Share (In Rs.) | 295.94 | 269.51 | 9.81% |
| Qtr end PE Ratio (times) | 56.44 | - | - |
| Qtr End Market Price | 2889.9 | - | - |
