Support Laghubitta’s Net Profit Jumps 148% in Q3; EPS Nearly Doubles to Rs. 33.37
Mon, Apr 21, 2025 7:42 AM on Financial Analysis, Highlight News, Company Analysis,
Support Laghubitta Bittiya Sanstha Limited (SMB) has reported an impressive growth of 148.36% in its net profit, reaching Rs. 3.06 crores in the third quarter of the fiscal year 2081/82. This marks a significant jump from the Rs. 1.23 crores recorded in the corresponding quarter of the previous fiscal year.
One of the major drivers of this growth was the substantial rise in Net Interest Income, which soared by 77.47% to Rs. 8.72 crores. The improvement comes on the back of a significant drop in the institution’s cost of funds, which declined from 10.46% to 7.19%, a reduction of 31.26%.
In terms of operational performance, operating profit saw a staggering increase of 249.27%, climbing to Rs. 4.65 crores. The microfinance institution’s loans and advances rose by 6.39% to reach Rs. 1.84 Arba, while customer deposits grew by 22.50%, totaling Rs. 41.54 crores.
Meanwhile, borrowings decreased slightly by 0.71% to Rs. 1.26 Arba, indicating a modest decline in external liabilities. The company also saw an 11.62% growth in reserves and surplus, now standing at Rs. 6.46 crores.
Support Laghubitta’s Earnings Per Share (EPS) climbed to Rs. 33.37, up from Rs. 17.28 in the previous year, reflecting a rise of 93.18%. However, its Net Worth Per Share declined by 4.98%, dropping to Rs. 152.79.
From a risk perspective, the company’s Non-Performing Loan (NPL) ratio rose to 1.64% from 1.47%, indicating a 11.56% increase. Despite this, the Capital Adequacy Ratio improved to 9.53%, up from 8.38% in the same quarter last year.
Support Laghubitta's stock closed the quarter at a market price of Rs. 2,396.21, with a price-to-earnings (P/E) ratio of 71.80 times.
Major Highlights:
| Particulars (In Rs '000) | Support Laghubitta | ||
|---|---|---|---|
| Q3 2081/82 | Q3 2080/81 | Difference | |
| Paid Up Capital | 122,443.45 | 95,238.00 | 28.57% |
| Reserves & Surplus | 64,636.40 | 57,907.33 | 11.62% |
| Borrowings | 1,268,924.15 | 1,277,959.94 | -0.71% |
| Deposits from Customers | 415,401.32 | 339,116.50 | 22.50% |
| Loans and Advances to Customers | 1,843,402.98 | 1,732,603.85 | 6.39% |
| Net Interest Income | 87,280.79 | 49,181.08 | 77.47% |
| Staff Expenses | 41,504.57 | 40,041.94 | 3.65% |
| Write Back for Possible Loss | 2,080.15 | 6,254.88 | -66.74% |
| Operating Profit | 46,569.15 | 13,333.13 | 249.27% |
| Net Profit | 30,649.06 | 12,340.45 | 148.36% |
| Capital Adequacy (%) | 9.53 | 8.38 | 13.72% |
| NPL (%) | 1.64 | 1.47 | 11.56% |
| Cost of Fund (%) | 7.19 | 10.46 | -31.26% |
| EPS (In Rs.) | 33.37 | 17.28 | 93.18% |
| Net Worth per Share (In Rs.) | 152.79 | 160.80 | -4.98% |
| Qtr end PE Ratio (times) | 71.80 | - | - |
| Qtr End Market Price | 2396.21 | - | - |
