Despite decrease in Core business revenue Lumbini Bikas Bank able to increase operating profit; Shows fair growth in Q1
Fri, Nov 6, 2020 7:58 AM on Latest, Company Analysis,
Lumbini Bikas Bank Limited (LBBL) has posted an increase in net profit of 15.46% in the first quarter of the fiscal year 2077/78. The net profit rose to Rs. 11.17 crores from Rs. 9.67 crores of the corresponding quarter of the previous year.
The loans and advances for the quarter increased by 4.98% to Rs. 25.45 Arba from Rs. 24.24 Arba (compared to immediate previous year ending). The deposit increased to Rs. 32.44 Arba in this quarter (compared to immediate previous year ending).
The Net Interest income (Core business revenue) for the company decreased by 18.70% to Rs. 24.95 crores. However, the operating profit for the company increased by 15.34% which is mainly due to lower provisioning and increased other operating income.
Lumbini has a paid-up capital of Rs.2.71 Arba and a reserve and surplus of Rs. 1.65 Arba Crore which is an increment of 9.76%.
Its Non-Performing loan (NPL) has increased to 2.36% in this quarter. Its annualized Earnings per Share stands at Rs. 16.45 and net worth per share stand at Rs.160.98. The company traded at a P/B multiple of 1.35 times.
Financial Highlights:
|
Particulars |
Lumbini Bikas Bank Limited |
||
|---|---|---|---|
|
Q1, 2077/2078 |
Q1, 2076/2077 |
Difference |
|
|
Paid-Up Capital |
2,716,311.73 |
2,716,311.73 |
- |
|
Share Premium |
76.31 |
76.31 |
- |
|
Retained Earnings |
210,366.27 |
189,214.70 |
11.18% |
|
Reserves |
1,445,883.51 |
1,319,702.28 |
9.56% |
|
Deposits from Customers |
32,447,551.62 |
28,058,819.72 |
15.64% |
|
Loans & Advances to Customers |
25,458,086.21 |
24,249,834.80 |
4.98% |
|
Net Interest Income |
249,535.64 |
306,942.56 |
-18.70% |
|
Fee and Commission Income |
37,638.13 |
27,740.78 |
35.68% |
|
Impairment Charge/ (Reversal) |
24,200.94 |
52,864.34 |
-54.22% |
|
Personnel Expenses |
93,656.71 |
88,088.40 |
6.32% |
|
Operating Profit |
159,650.39 |
138,412.22 |
15.34% |
|
Profit/ (Loss) for the period |
111,719.47 |
96,760.28 |
15.46% |
|
Distributable Profit/(Loss) after P/L appropriation and Regulatory Adjustments |
21,151.57 |
- |
- |
|
Capital Adequacy Ratio (CAR) (%) |
12.68% |
16.22% |
- |
|
Non-Performing Loan (NPL) |
2.36% |
2.00% |
- |
|
CCD (as per NRB Directive) |
73.13% |
76.59% |
- |
|
Cost of Fund (%) |
7.23% |
8.68% |
- |
|
Base Rate (%) |
9.65% |
11.30% |
- |
|
Annualized EPS (Rs.) |
16.45 |
14.25 |
15.46% |
|
Net Worth per share (Rs.) |
160.98 |
155.55 |
3.49% |
|
Qtr End PE Ratio (Rs.) |
13.19 |
- |
- |
|
Qtr End Market Price |
217 |
- |
- |
|
Price to Book (PB Ratio) |
1.35 |
- |
- |
