Global IME Bank Net Profit Falls by 24.13% in Q3, NPL at 4.74% with Spike in Impairment Charges
Fri, Apr 19, 2024 10:37 AM on Latest, Financial Analysis, Company Analysis,
Global IME Bank Limited (GBIME) has revealed a 24.13% decline in net profit in its third-quarter fiscal report for 2080/81, amounting to Rs 3.30 Arba.
The bank maintains a strong financial position with a total paid-up capital of Rs. 36.12 Arba and reserves of Rs. 22.43 Arba. However, a significant concern is the negative retained earnings standing at Rs 42.31 Crores.
During this quarter, the bank's total deposits reached a commendable Rs 4.59 Kharba, accompanied by loans and advances to customers totaling Rs 3.66 Kharba. Despite experiencing a 10.49% increase in Net Interest Income, reaching Rs. 13.02 Arba, notable expenditures were observed, including personnel expenses of Rs. 3.39 Arba and a considerable spike of 94.21% in impairment charges to Rs. 5.26 Arba.
In terms of financial metrics for the third quarter, the bank reported an annualized EPS of Rs 12.20, with net worth per share standing at Rs 160.92. However, concerns arose as Non-Performing Loans (NPL) spiked to 4.74%. Additionally, the bank disclosed a negative distributable profit of Rs 42.31 Crores.
* Figures are of Immediate Previous Year Quarter Ending
| Particulars (In Rs '000) | Global IME Bank Limited | ||
|---|---|---|---|
| Q3 2080/81 | Q3 2079/80 | Difference | |
| Paid Up Capital | 36,128,770.00 | 35,771,060.00* | 1.00% |
| Share Premium | 0.00 | 0.00 | - |
| Retained Earnings | -423,102.00 | 3,243,362.00* | - |
| Reserves | 22,431,748.00 | 20,039,289.00* | 11.94% |
| Deposits | 459,772,609.00 | 426,325,446.00* | 7.85% |
| Loans & Advances | 366,602,143.00 | 354,466,748.00* | 3.42% |
| Net Interest Income | 13,029,041.00 | 11,792,154.00 | 10.49% |
| Personnel Expenses | 3,392,768.00 | 3,103,389.00 | 9.32% |
| Impairment Charges | 5,264,625.00 | 2,710,773.00 | 94.21% |
| Operating Profit | 4,714,323.00 | 6,066,067.00 | -22.28% |
| Net Profit | 3,306,552.00 | 4,358,264.00 | -24.13% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | -423,102.00 | 962,673.00 | - |
| Capital Adequacy (%) | 12.01 | 12.75 | -5.80% |
| NPL (%) | 4.74 | 3.96 | 19.70% |
| Cost of Fund (%) | 6.96 | 8.62 | -19.26% |
| EPS (In Rs.) | 12.20 | 16.25 | -24.88% |
| Net Worth per Share (In Rs.) | 160.92 | 165.09 | -2.53% |
| Qtr end PE Ratio (times) | 14.91 | ||
| Qtr End Market Price | 182 | - | |
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