Huge Deposits & Low credit expansion led 9.8% decline in Nabil's Q4 profit (Exclusive Study)

ShareSansar, August 13;

Nabil Bank Limited (NABIL), one of the leading banks of the country has reported a decline of net profit by 9.80 percent in a last quarter of the fiscal year2071/2072.

Publicizing the unaudited quarterly report for the fourth quarter today, the commercial bank has stated that it has posted net profit of Rs 2.10 arba in Q4.

The net interest income of the commercial bank has reached to Rs 3.54 arba with the flow of Rs 67.16 arba in loan and advances. It has mobilized Rs 103.95 arba in deposits in Q4 compared to Rs 75.36 arba in the corresponding quarter of the previous fiscal year.

Its deposit increases by 37.95% whereas its loan and advances increases by 19.51% which shows a low credit expansion result high interest expenses compared to income. This is the major reason behind the decline in net profit this fiscal year.

The bank’s non-performing loan has dropped down from 2.23 to 1.82 in Q4.

It’s paid up capital remains at Rs 3.65 arba with Rs 6.11 arba in reserve.

Its EPS stands at Rs.57.49, net worth per share at Rs 267 and P/E ratio stands at 33.22 times.

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