NMB Laghubitta (NMBMF) Reports Substantial Net Loss in Q2 2080/81, Accompanied by 58.91% Rise in NPL
Mon, Feb 5, 2024 10:00 AM on Latest, Financial Analysis, Company Analysis,
NMB Laghubitta Bittiya Sanstha Limited (NMBMF) has recently disclosed its second-quarter financial report for the fiscal year 2080/81, unveiling a discernible downturn in net profitability. The company reported a notable net loss amounting to Rs. 6.75 Crore, a stark contrast to the Rs. 13.53 lakhs registered in the corresponding quarter of the preceding year.
The financial metrics portray a nuanced scenario, with borrowings witnessing a 5.57% decrease, settling at Rs. 2.53 Arba compared to the Rs. 2.68 Arba recorded in the immediate previous fiscal year. Concurrently, the company's deposits remained stable at Rs. 1.41 Arba, while loans and advances underwent a 2.78% reduction, reaching Rs. 4.73 Arba in the current reporting quarter.
Further dissecting the financial health, the net interest income, constituting the core revenue stream, exhibited a substantial decline of 33.89%, aggregating Rs. 10.76 crore in the current quarter in contrast to Rs. 16.28 crore in the corresponding quarter of the previous fiscal year.
NMBMF maintains a paid-up capital of Rs. 72.14 crores, with reserves totaling Rs. 18.90 crores. Retained earnings stand at a negative Rs. 4.59 Crores, while the share premium amounts to Rs. 7.29 Crores. The earnings per share (EPS) reflect a negative Rs. 18.73, and the net worth per share is reported at Rs. 129.95. It is noteworthy that the company is currently trading at a P/E multiple of 29.69 times.
In an additional financial facet, the Non-Performing Loans (NPL) experienced a surge of 58.91%, culminating in a standing ratio of 7.85%.
Major Financial Highlights:
* Figure is of Immediate Fiscal Year Ending
| Particulars (In Rs '000) | NMB Laghubitta | ||
|---|---|---|---|
| Q2 2080/81 | Q2 2079/80 | Difference | |
| Paid Up Capital | 721,449.15 | 721,449.15* | 0.00% |
| Share Premium | 72,972.96 | 72,972.96* | 0.00% |
| Retained Earnings | -45,982.44 | 15,554.77* | - |
| Reserves | 189,092.10 | 197,415.60* | -4.22% |
| Borrowings | 2,536,167.10 | 2,685,730.50* | -5.57% |
| Deposits from Customer | 1,411,093.92 | 1,547,314.81* | -8.80% |
| Loans & Advances to Customers | 4,733,326.88 | 4,868,786.47 | -2.78% |
| Net Interest Income | 107,655.39 | 162,831.56 | -33.89% |
| Personnel Expenses | 112,588.28 | 90,770.22 | 24.04% |
| Impairment Charges | 26,323.56 | 49,261.73 | -46.56% |
| Operating Profit | -67,608.85 | 1,083.15 | - |
| Net Profit | -67,563.08 | 1,353.12 | - |
| Capital Adequacy (%) | 17.62 | 17.49 | 0.74% |
| NPL (%) | 7.85 | 4.94 | 58.91% |
| Cost of Fund (%) | 9.98 | 9.88 | 1.01% |
| EPS (In Rs.) | -18.73 | 0.38 | - |
| Net Worth per Share (In Rs.) | 129.95 | 139.63 | -6.93% |
| Qtr end PE Ratio (times) | -29.69 | - | - |
| Qtr End Market Price | 556 | - | - |
