Aarambha Chautari Laghubitta reports slight increase in its Net Profit; Company signed a tri-party merger agreement with two other microfinance companies
Thu, Nov 5, 2020 7:39 AM on Latest, Company Analysis,
Aarambha Laghubitta Laghubitta Bittiya Sanstha (ACLBSL) has published its first-quarter report of FY 2077/2078 with an increase in Net Profit by a meager 4.88%. As per the report published by the company, the net profit increased to Rs. 1.29 crores as compared to Rs. 1.37 crores in the corresponding quarter of the previous year.
Aarambha Chautari Laghubitta Bittiya Sanstha Limited (ACLBSL) has signed a merger agreement with CYC Nepal Laghubitta (CYC), and Shaligram Laghubitta (SHALIGRAM) on Ashwin 09, 2077. The chairman of the three companies signed a tri-party agreement with each other. so, the trading for the stock is halted for the time being.
The borrowings of the company increased by 81.07% to Rs. 1.70 Arba which was Rs. 94.08 crores in the corresponding quarter of the previous year. The company’s loans and advances increased by 77.76% to Rs. 2.93 Arba in this quarter.
The net interest income (core revenue) increased by 57.15% to Rs. 5.63 crores compared to Rs. 3.58 crores in the corresponding quarter of the previous year. Despite the increase in interest income, administrative expenses and provisions are two of the reasons leading to decline in operating profit.
The paid-up capital of the company increased to Rs. 26.34 crores in this quarter and its reserve and surplus stood at Rs. 8.27 crores.
Its annualized earnings per share (EPS) stands at Rs. 19.70. The net worth per share increased to Rs. 131.43. The company traded at a P/E multiple of 37.46 times.
Financial Highlights:
|
Particulars |
Aarambha Chautari Laghubitta Bittiya Sanstha Limited |
||
|---|---|---|---|
|
Q1, 2077/2078 |
Q1, 2076/2077 |
Difference |
|
|
Paid-Up Capital |
263,448.00 |
199,020.00 |
32.37% |
|
Reserve & Surplus |
82,797.99 |
22,580.82 |
266.67% |
|
Deposits |
974,697.58 |
531,076.37 |
83.53% |
|
Borrowings |
1,703,552.53 |
940,804.87 |
81.07% |
|
Loans and Advances |
2,935,664.07 |
1,651,458.44 |
77.76% |
|
Net Interest Income |
56,320.24 |
35,839.11 |
57.15% |
|
Provision for possible losses |
7,697.53 |
2,968.60 |
159.30% |
|
Operating Profit |
20,391.38 |
19,442.02 |
4.88% |
|
Net Profit |
12,976.33 |
12,372.19 |
4.88% |
|
Capital Adequacy Ratio (%) |
11.47% |
13.72% |
- |
|
NPL (%) |
1.91% |
0.60% |
- |
|
Cost of Fund (%) |
7.26% |
10.42% |
- |
|
Annualized EPS (In Rs.) |
19.70 |
24.87 |
-20.77% |
|
Net Worth per share (In Rs.) |
131.43 |
111.35 |
18.04% |
|
Price to earnings (times) |
37.46 |
- |
- |
|
Price to Book (times) |
5.62 |
- |
- |
