Century Commercial Bank's growth remains stagnant; Profitability not affected as anticipated; Net Profit rises by 33.99%

Fri, Aug 14, 2020 1:50 PM on Company Analysis, Latest,

Century Commercial Bank Limited (CCBL) has published its fourth-quarter report for the FY 2076/2077 with an increase in Net Profit by 33.99%. The bank's net profit has increased from Rs. 67.64 crores in the fourth quarter of FY 2075/2076 to Rs. 90.63 crores in the fourth quarter of FY 2076/2077.

The bank has Rs. 40 Crores as a distributable profit after P/L appropriation and regulatory requirements in the fourth quarter. This means CCBL can distribute around 5% (approx.) dividend from the earnings of FY 2076/2077 if other regulatory requirements are not required. 

The bank’s deposit from customers increased by 8.40% to Rs. 65.34 Arba whereas loans and advances to customers increased by a small 1.67% to Rs. 58.04 Arba till the fourth quarter. The Net Interest Income (core business income) of the bank has increased by 10.41% to Rs. 2.86 Arba compared to the corresponding quarter of the previous year.

The bank’s paid-up capital remains at Rs. 8.41 Arba with Rs. 2.25 Arba in Reserve and surplus. The Non-performing loan (NPL) has increased to 2.21% in this quarter.

The earnings per share (EPS) of the Bank stood at Rs. 10.77 and Net worth per share stood at Rs. 126.76. The company traded at P/E multiple of 15.32 times.

Click here for Q4 report

Major Highlights:

Particulars ('000)

Century Commercial Bank Limited

Q4, 2076/2077

Q4,2075/2076

Difference

Paid-up Capital

8,415,472.00

8,415,472.00

-

Share Premium

34,369.00

34,369.00

-

Retained Earnings

682,103.00

533,853.00

27.77%

Reserves

1,535,104.00

1,008,620.00

52.20%

Deposit from Customers

65,340,392.00

60,276,496.00

8.40%

Loans & Advances to Customers

58,044,421.00

57,089,329.00

1.67%

Net Interest Income

2,862,001.00

2,592,042.00

10.41%

Fee and Commission Income

265,365.00

352,029.00

-24.62%

Impairment Charge/(Reversal)

534,597.00

574,325.00

-

Personnel Expenses

918,545.00

854,942.00

7.44%

Operating Profit

1,228,872.00

1,025,965.00

19.78%

Profit/(Loss) for the Year

906,323.00

676,408.00

33.99%

Total Comprehensive Income

927,199.00

672,124.00

37.95%

Distributable Profit/(Loss) after P/L appropriation and Regulatory Adjustments

400,092.00

-

-

Capital Adequacy Ratio (CAR) (%)

14.53%

14.27%

-

Non-Performing Loan (NPL)

2.21%

1.40%

-

CCD (as per NRB Directive)

75.28%

78.09%

-

Cost of Fund (%)

6.94%

8.19%

-

Base Rate (%)

9.38%

11.29%

-

EPS (Rs.)

10.77

8.03

34.12%

Net worth per share (Rs.)

126.76

118.73

6.76%

Qtr End PE Ratio (Rs.)

15.32

-

-

Qtr End Market Price

165.00

-

-

Price to Book (PB Ratio)

1.30

-

-