Lumbini Bikas Bank Posts Strong FY 2082/83 Results with 252.96% Surge in Net Profit
Thu, Aug 6, 2026 11:32 AM on Latest, Financial Analysis, Highlight News, Company Analysis,
Lumbini Bikas Bank Limited (LBBL) has released its fourth-quarter financial results for FY 2082/83, reporting a remarkable improvement in profitability, primarily driven by a sharp decline in impairment charges and stronger operating earnings.
The development bank posted a net profit of Rs. 85.10 crore, registering a 252.96% year-on-year increase from Rs. 24.11 crore in the corresponding period last year. The performance was supported by a 7.53% rise in net interest income, which increased to Rs. 1.99 Arba from Rs. 1.85 Arba a year earlier.
Customer deposits slipped marginally by 0.26% to Rs. 57.44 Arba, while loans and advances remained largely stable, declining by just 0.02% to Rs. 47.05 Arba. Meanwhile, operating profit surged 108.50% to Rs. 1.21 Arba, aided by an 82.66% decline in impairment charges for loans and advances, which dropped to Rs. 13.50 crore.
On the prudential front, the Capital Adequacy Ratio (CAR) stood at 14.96%. The Non-Performing Loan (NPL) ratio increased to 6.94% from 4.71% a year ago, indicating a deterioration in asset quality. However, the cost of funds improved, declining to 3.95% from 5.35%.
The bank reported an Earnings Per Share (EPS) of Rs. 23.48, while Net Worth Per Share improved to Rs. 213.73.
Major Financial Highlights
| Particulars (In Rs '000) | Lumbini Bikas Bank Limited | ||
| Q4 2082/83 | Q4 2081/82 | Difference | |
| Paid Up Capital | 3,623,678.16 | 3,623,678.16 | 0.00% |
| Share Premium | 0.00 | 0.00 | 0.00% |
| Retained Earnings | 615,580.56 | 184,366.15 | 233.89% |
| Reserves | 3,505,498.98 | 3,084,034.80 | 13.67% |
| Deposit | 57,443,387.62 | 57,594,111.70 | -0.26% |
| Loans & Advances | 47,056,203.36 | 47,067,103.29 | -0.02% |
| Net Interest Income | 1,997,221.86 | 1,857,301.05 | 7.53% |
| Personnel Expenses | 578,052.08 | 459,193.08 | 25.88% |
| Impairment Charges | 135,036.73 | 778,752.40 | -82.66% |
| Operating Profit | 1,217,812.83 | 584,077.46 | 108.50% |
| Net Profit | 851,015.56 | 241,106.43 | 252.96% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | 615,580.56 | 184,366.15 | 233.89% |
| Capital Adequacy (%) | 14.96 | 13.56 | 10.32% |
| NPL (%) | 6.94 | 4.71 | |
| Cost of Fund (%) | 3.95 | 5.35 | -26.17% |
| EPS (In Rs.) | 23.48 | 6.65 | 252.96% |
| Net Worth per Share (In Rs.) | 213.73 | 190.20 | 12.37% |
| Qtr end PE Ratio (times) | 20.58 | - | - |
| Qtr End Market Price | 483.4 | - | - |
