Despite slow business growth Mahalaxmi Bikas Bank able to increase profit by 71.02% in Q4; has 16% (approx.) dividend distribution capacity from FY 2077/78 earnings
Wed, Jul 21, 2021 4:58 AM on Financial Analysis, Latest,
Mahalaxmi Bikas Bank Limited (MLBL) has published its fourth-quarter report for the FY 2077/78 with a rise in net profit by 71.02%.
The bank’s profit has increased from Rs 42.85 crore in the fourth quarter of the fiscal year 2076/77 to Rs 73.29 crore in the fourth quarter of the fiscal year 2077/78. In the same quarter, the bank has Rs 56.38 crore as distributable profit after PL Appropriation and Regulatory Adjustments. This means Mahalaxmi Bikas can distribute around 16% (approx.) dividends from the earnings of FY 2077/78 if other regulatory requirements are not required.
The bank’s deposits from customers have a growth rate of 4.41% to Rs 38.60 arba and loans and advances to customers have increased by 2.27% to Rs 30.10 arba till the fourth quarter.
The net interest income of the bank has increased by 1.50% to Rs 1.56 arba from Rs 1.54 arba of the corresponding quarter.
The bank’s paid-up capital stands at Rs 3.34 arba with Rs 2.16 arba as its reserve and surplus.
The Non-Performing Loan (NPL) has increased to 3.32% from 2.8%.
The EPS of the bank stands at Rs 21.93. The net worth per share stands at Rs 164.75. The company traded at a P/E ratio of 20.29 times.
Financial Highlights:
| Particulars (In Rs '000") | Mahalaxmi Bikas Bank | ||
|---|---|---|---|
| Q4 2077/78 | Q4 2076/77 | Difference | |
| Share Capital | 3,342,403 | 3,072,061 | 8.80% |
| Share Premium | 0 | 0 | |
| Retained Earnings | 567,638 | 288,352 | 96.86% |
| Reserves | 1,596,502 | 1,427,442 | 11.84% |
| Deposits from Customers | 38,609,250 | 36,977,169 | 4.41% |
| Loans & Advances to customers | 30,106,374 | 29,438,119 | 2.27% |
| Net Interest Income | 1,567,327 | 1,544,167 | 1.50% |
| Other Operating Income | 164,989 | 33,894 | 386.78% |
| Impairment Charge/(Reversal) | 230,939 | 281,045 | -17.83% |
| Personnel Expenses | 554,585 | 549,436 | 0.94% |
| Operating Profit | 1,023,454 | 609,947 | 67.79% |
| Profit/(Loss) for the Year | 732,916 | 428,565 | 71.02% |
| Total Comprehensive Income | 732,916 | 428,565 | 71.02% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | 563,856 | ||
| Capital Adequacy Ratio (CAR) | 13.67 | 13.41 | 1.94% |
| NPL | 3.32 | 2.8 | 18.57% |
| CCD (as per NRB Directives) | 79.67 | 73.5 | 8.39% |
| Cost of Fund (%) | 5.44 | 7.52 | -27.66% |
| Interest Rate Spread (%) | 4.53 | 4.35 | 4.14% |
| Base Rate (%) | 7.28 | 9.95 | -26.83% |
| EPS (In Rs.) | 21.93 | 13.95 | 57.18% |
| Net Worth per Share (In Rs.) | 164.75 | 155.85 | 5.71% |
| Qtr End PE Ratio (times) | 20.29 | - | - |
| Qtr End Market Price | 445 | - | - |
