Kumari Bank Reports Turnaround in Q4; Net Profit Soars to Rs. 2.11 Arba, EPS Reached to Rs. 8.07
Thu, Aug 7, 2025 9:49 AM on Financial Analysis, Company Analysis, Latest,
Kumari Bank Limited (KBL) has published its unaudited fourth-quarter financial results for the fiscal year 2081/82, reporting a significant improvement in profitability. The bank posted a net profit of Rs. 2.11 Arba, a sharp increase compared to just Rs. 46.08 Lakhs in the corresponding period of the previous fiscal year.
The bank’s paid-up capital remained unchanged at Rs. 26.22 Arba. Its retained earnings have improved significantly, reducing the loss from Rs. 5.37 Arba in Q4 2080/81 to Rs. 2.79 Arba in Q4 2081/82. However, reserves declined marginally by 0.62% to Rs. 13.85 Arba.
Total customer deposits grew by 9.46% to Rs. 3.64 Kharba, while borrowings saw a slight increase of 2.98%, reaching Rs. 1.38 Arba. However, the bank's loan portfolio declined by 2.79%, falling to Rs. 2.60 Kharba from Rs. 2.68 Kharba a year earlier.
Net interest income rose by 6.95% to Rs. 11.55 Arba. The bank also managed to reduce its impairment charges significantly, from Rs. 6.84 Arba to Rs. 2.79 Arba — a decline of over 59%. Operating profit witnessed a dramatic rise, reaching Rs. 6.13 Arba, up from just Rs. 97.39 Crores in the previous fiscal year, reflecting a growth of over 529%.
Kumari Bank’s capital adequacy ratio improved to 12.98% from 11.42%, showing stronger capital positioning. However, the Non-Performing Loan (NPL) ratio slightly increased to 6.42% from 5.96%, indicating a moderate uptick in credit risk. The cost of fund significantly declined by 29.67%, standing at 4.74% compared to 6.74% previously.
Annualized earnings per share (EPS) jumped to Rs. 8.07, a remarkable surge from Rs. 0.02 in the previous year. Net worth per share also rose to Rs. 142.19, up by 7.14%. The bank's price-to-earnings (P/E) ratio at the quarter-end stood at 27.23 times, while its market price was recorded at Rs. 219.77 per share.
Major Financial Highlights:
* Figures are of the Immediate Previous Year Quarter Ending
| Particulars (In Rs '000) | Kumari Bank | ||
|---|---|---|---|
| Q4 2081/82 | Q4 2080/81 | Difference | |
| Paid Up Capital | 26,225,861.34 | 26,225,861.34* | 0.00% |
| Retained Earnings | -2,794,020.62 | -5,367,424.48* | - |
| Reserves | 13,857,925.94 | 13,944,762.56* | -0.62% |
| Deposits | 364,639,161.51 | 333,111,322.49* | 9.46% |
| Borrowings | 1,380,591.73 | 1,340,593.58* | 2.98% |
| Loan and advances to Customers | 260,948,398.14 | 268,431,270.47* | -2.79% |
| Net Interest Income | 11,554,394.66 | 10,803,340.70 | 6.95% |
| Personnel Expenses | 4,359,038.98 | 3,857,072.67 | 13.01% |
| Impairment Charges | 2,796,241.47 | 6,841,410.63 | -59.13% |
| Operating Profit | 6,134,491.03 | 973,923.54 | 529.87% |
| Net Profit | 2,116,409.05 | 4,608.70 | 45822.00% |
| Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments | -2,794,020.62 | -5,367,424.48 | - |
| Capital Adequacy (%) | 12.98 | 11.42 | 13.66% |
| NPL% | 6.42 | 5.96 | 7.72% |
| Cost of Fund (%) | 4.74 | 6.74 | -29.67% |
| Annualized EPS (In Rs.) | 8.07 | 0.02 | 45822.00% |
| Net Worth per Share (In Rs.) | 142.19 | 132.71 | 7.14% |
| Qtr end PE Ratio (times) | 27.23 | ||
| Qtr End Market Price | 219.77 | - | - |
