Nepal Investment Mega Bank Reports 39.71% Increase in Q4 Net Profit Amidst Rising NPLs and Negative Distributable Profit
Mon, Aug 5, 2024 7:52 AM on Financial Analysis, Company Analysis, Latest,
Nepal Investment Mega Bank Limited (NIMB) has announced its financial results for the fourth quarter of the fiscal year 2080/81, showing a significant 39.71% rise in net profit, reaching Rs 5.19 Arba.
By the end of the fiscal period, NIMB's total paid-up capital was Rs 34.12 Arba, with reserves of Rs 30.56 Arba. However, the bank reported negative retained earnings of Rs 3.43 Crores. Total deposits reached to Rs 40.34 Kharba, while loans and advances to customers amounted to Rs 30.75 Arba.
The bank saw a 22.02% increase in Net Interest Income, which rose to Rs 15.01 Arba. Personnel expenses totaled Rs 3.87 Arba, and impairment charges experienced a slight increase of 0.17%, standing at Rs 3.20 Arba.
Key financial metrics for the fourth quarter include an annualized Earnings Per Share (EPS) of Rs 15.23 and a net worth per share of Rs 179.51. Despite the profit increase, the bank faced a rise in Non-Performing Loans (NPL) to 4.95% and disclosed a negative distributable profit of Rs 3.43 Arba.
* Figures are of Immediate Previous Year Quarter Ending
| Particulars (In Rs '000) | Nepal Investment Mega Bank | ||
|---|---|---|---|
| Q4 2080/81 | Q4 2079/80 | Difference | |
| Paid Up Capital | 34,128,595.00 | 34,128,595.00* | 0.00% |
| Share Premium | 0.00 | 0.00 | - |
| Retained Earnings | -3,430,974.00 | -3,471,720.00* | - |
| Reserves | 30,568,127.00 | 24,943,762.00* | 22.55% |
| Deposits | 403,416,956.00 | 354,414,420.00* | 13.83% |
| Loans & Advances | 307,525,649.00 | 302,874,153.00* | 1.54% |
| Net Interest Income | 15,017,169.00 | 12,307,098.00 | 22.02% |
| Personnel Expenses | 3,877,925.00 | 3,036,301.00 | 27.72% |
| Impairment Charges | 3,205,636.00 | 3,200,298.00 | 0.17% |
| Operating Profit | 8,070,208.00 | 6,635,627.00 | 21.62% |
| Net Profit | 5,198,320.00 | 3,720,833.00 | 39.71% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | -3,430,974.00 | -3,471,720.00 | - |
| Capital Adequacy (%) | 13.67 | 13.32 | 2.63% |
| NPL (%) | 4.95 | 4.54 | 9.03% |
| Cost of Fund (%) | 5.87 | 7.71 | -23.87% |
| EPS (In Rs.) | 15.23 | 10.90 | 39.71% |
| Net Worth per Share (In Rs.) | 179.51 | 162.92 | 10.19% |
| Qtr end PE Ratio (times) | 11.50 | ||
| Qtr End Market Price | 175.1 | - | |
