Everest Bank net profit decline by 51.54% in Q1; Bank recently proposed 10.53% dividend to its shareholders
Mon, Nov 9, 2020 5:54 AM on Company Analysis, Latest,
Everest Bank Limited (EBL) has published its first-quarter report for the FY 2077/78 today with a 51.54% decline in net profit. The decline in profit is due to decreased net interest income due to declining interest rates spread.
The bank’s profit has decreased from Rs 69.08 crore in the first quarter of the fiscal year 2076/77 to Rs 33.47 crore in the first quarter of the fiscal year 2077/78. In the same quarter, the bank has just Rs 13.59 crore as distributable profit after PL Appropriation and Regulatory Adjustments.
The bank’s deposit from customers has increased by 9.06% (compared to the immediate previous year ending) to Rs 1.56 kharba and loans and advances to customers increased by 3.31% (compared to the immediate previous year ending) to Rs 1.15 kharba in the first quarter. The net interest income (core business income) of the bank has decreased by 28.57% to Rs 1.02 arba from Rs 1.43 arba of the corresponding quarter.
The bank’s paid-up capital stands at Rs 8.51 arba with Rs 10.44 arba as its reserve and surplus.
The Non-Performing Loan (NPL) has increased to 0.22% from 0.17%.
In the first quarter, the annualized EPS of the bank stands at Rs 15.73. The net worth per share stands at Rs 222.74 and the qtr end PE ratio stands at 45.19 times.
Everest Bank Limited (EBL) proposes 10.53% dividend for FY 2076/77; How much in bonus and cash?
Major Highlights:
* 2076/77 figure are of Immediate Previous Year Ending.
| Particulars (In Rs '000) | Everest Bank | ||
|---|---|---|---|
| Q1 2077/78 | Q1 2076/77 | Difference | |
| Share Capital* | 8,510,207 | 8,510,207 | 0.00% |
| Share Premium* | 238,470 | 238,470 | |
| Retained Earnings* | 2,127,830 | 1,793,066 | 18.67% |
| Reserves* | 8,079,137 | 8,095,614 | -0.20% |
| Deposits from Customers* | 156,549,579 | 143,545,475 | 9.06% |
| Loans & Advances to customers* | 115,924,504 | 112,211,738 | 3.31% |
| Net Interest Income | 1,023,298 | 1,432,519 | -28.57% |
| Fee and Commission Income | 214,034 | 243,669 | -12.16% |
| Impairment Charge/(Reversal) | 204,394 | 66,975 | - |
| Personnel Expenses | 388,056 | 458,843 | -15.43% |
| Operating Profit | 478,263 | 986,999 | -51.54% |
| Profit/(Loss) for the Year | 334,764 | 690,868 | -51.54% |
| Total Comprehensive Income | 314,734 | 702,421 | -55.19% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | 135,977 | ||
| Capital Adequacy Ratio (CAR) | 13.03 | 13.79 | -5.51% |
| NPL | 0.22 | 0.17 | 29.41% |
| CCD (as per NRB Directives) | 70.27 | 74.68 | -5.91% |
| Cost of Fund (%) | 5.37 | 6.38 | -15.83% |
| Interest Rate Spread (%) | 3.94 | 5.25 | -24.95% |
| Base Rate (%) | 7.07 | 8.52 | -17.02% |
| Annualized EPS (In Rs.) | 15.73 | 32.47 | -51.54% |
| Net Worth per Share (In Rs.) | 222.74 | 219.00 | 1.71% |
| Qtr End PE Ratio (times) | 45.19 | - | - |
| Qtr End Market Price | 711 | - | - |
