Sana Kisan Bikas Laghubitta Reports Rs. 51.77 Crore Net Profit in Q2 2081/82, EPS at Rs. 24.01, Driven by Lower Impairment Charges
Thu, Feb 6, 2025 11:13 AM on Latest, Financial Analysis, Company Analysis,
Sana Kisan Bikas Laghubitta Bittiya Sanstha Limited (SKBBL) has reported a net profit of Rs. 51.77 crore in the second quarter (Q2) of the fiscal year 2081/82, reflecting a 17.01% growth compared to Rs. 44.25 crore in the same period last year. Despite a decline in net interest income and loans and advances, the company’s profitability improved due to lower impairment charges and operational efficiency.
The company's net interest income stood at Rs. 96.81 crore, a slight decrease of 2.23% from Rs. 99.02 crore in Q2 2080/81. However, impairment charges dropped significantly by 69.52% to Rs. 3.05 crore, easing pressure on the bottom line. As a result, operating profit increased by 6.84% to Rs. 75.27 crore.
Total loans and advances to customers declined by 12.16% to Rs. 33.48 arba, while deposits from customers remained relatively stable at Rs. 2.82 Arba. On the other hand, reserves increased by 4.94% to Rs. 4.09 arba, strengthening the company's financial position.
The company’s capital adequacy ratio declined to 14.66% from 18.50%, while the non-performing loan (NPL) ratio increased to 2.27% from 2.00%, indicating a slight deterioration in asset quality. However, the cost of funds dropped significantly to 3.71% from 6.19%, reducing borrowing costs.
In terms of market performance, Sana Kisan Bikas Laghubitta’s annualized earnings per share (EPS) improved to Rs. 24.01 from Rs. 23.25, while the net worth per share declined by 7.25% to Rs. 231.18. At the end of the quarter, the company’s stock was trading at Rs. 811 per share, with a price-to-earnings (P/E) ratio of 33.78 times.
Major Highlights:
* Figure is of Immediate Fiscal Year Ending
| Particulars (In Rs '000) | Sana Kisan Bikas Laghubitta | ||
|---|---|---|---|
| Q2 2081/82 | Q2 2080/81 | Difference | |
| Paid Up Capital | 4,312,621.51 | 3,806,373.80* | 13.30% |
| Share Premium | 18,269.71 | 18,269.71* | 0.00% |
| Retained Earnings | 1,541,630.19 | 1,757,955.76* | -12.31% |
| Reserves | 4,097,311.54 | 3,904,482.20* | 4.94% |
| Deposits from Customers | 2,825,613.73 | 2,838,929.40* | -0.47% |
| Loans and Advances to Customers | 33,488,137.10 | 38,123,180.34* | -12.16% |
| Net Interest Income | 968,151.33 | 990,218.27 | -2.23% |
| Personnel Expenses | 146,389.87 | 148,400.56 | -1.35% |
| Impairment Charges | 30,590.54 | 100,371.86 | -69.52% |
| Operating Profit | 752,759.58 | 704,563.41 | 6.84% |
| Net Profit | 517,755.41 | 442,499.60 | 17.01% |
| Capital Adequacy (%) | 14.66 | 18.50 | -20.76% |
| NPL (%) | 2.27 | 2.00 | 13.50% |
| Cost of Fund (%) | 3.71 | 6.19 | -40.06% |
| Annualized EPS (In Rs.) | 24.01 | 23.25 | 3.27% |
| Net Worth per Share (In Rs.) | 231.18 | 249.24 | -7.25% |
| Qtr end PE Ratio (times) | 33.78 | - | - |
| Qtr End Market Price | 811.00 | - | - |
