Kumari bank's profitability remains stagnant; Net Profit at 1.22 Arba; Kumari Bank just acquired Deva Bikas Bank
Fri, Aug 14, 2020 12:43 PM on Latest, Company Analysis,
Kumari Bank Limited (KBL) has published its fourth-quarter report for the FY 2076/2077 with a slight decrease in Net Profit by 0.71%. The bank's net profit has decreased from Rs. 1.23 Arba in the fourth quarter of FY 2075/2076 to Rs. 1.22 Arba in the fourth quarter of FY 2076/2077.
The bank has Rs. 71.28 crore as a distributable profit after P/L appropriation and regulatory requirements in the fourth quarter. This means KBL can distribute around 6% (approx.) dividend from the earnings of FY 2076/2077 if other regulatory requirements are not required.
The bank’s deposit from customers increased by 52.14% to Rs. 1.11 Kharba whereas loans and advances to customers increased by 59.21% to Rs. 1.16 Kharba till the fourth quarter. The Net Interest Income (core business income) of the bank has decreased by 26.49% to Rs. 3.63 Arba compared to the corresponding quarter of the previous year.
The bank’s paid-up capital stands at Rs. 12.52 Arba with Rs. 4.56 Arba in Reserve and surplus. The Non-performing loan (NPL) has increased to 1.41% in this quarter.
The earnings per share (EPS) of the Bank stood at Rs. 12.77 and Net worth per share stood at Rs. 136.47. The company traded at a P/E multiple of 14.56 times.
Kumari Bank Limited has acquired with Deva Bikas Bank Limited at the end of fiscal year 2076/77 and the growth in major financial indicators in Q4 is also due to the inclusion of Deva Bikas Bank financials.
Major Highlights:
|
Particulars ('000) |
Kumari Bank Limited |
||
|---|---|---|---|
|
Q4, 2076/2077 |
Q4,2075/2076 |
Difference |
|
|
Paid-up Capital |
12,520,049.46 |
8,685,573.11 |
44.15% |
|
Share Premium |
- |
- |
- |
|
Retained Earnings |
742,996.83 |
883,698.63 |
-15.92% |
|
Reserves |
3,822,764.80 |
2,095,010.62 |
82.47% |
|
Deposit from Customers |
111,092,705.89 |
73,017,913.05 |
52.14% |
|
Loans & Advances to Customers |
116,547,033.19 |
73,201,143.76 |
59.21% |
|
Net Interest Income |
3,630,148.97 |
2,869,953.92 |
26.49% |
|
Fee and Commission Income |
529,322.87 |
465,986.51 |
13.59% |
|
Impairment Charge/(Reversal) |
422,251.53 |
229,030.77 |
84.36% |
|
Personnel Expenses |
1,442,696.79 |
978,860.36 |
47.39% |
|
Operating Profit |
1,752,663.83 |
1,765,224.81 |
-0.71% |
|
Profit/(Loss) for the Year |
1,226,559.32 |
1,230,378.26 |
-0.31% |
|
Total Comprehensive Income |
1,249,396.83 |
1,179,305.67 |
5.94% |
|
Distributable Profit/(Loss) after P/L appropriation and Regulatory Adjustments |
712,883.20 |
- |
- |
|
Capital Adequacy Ratio (CAR) (%) |
14.42% |
12.07% |
- |
|
Non-Performing Loan (NPL) |
1.41% |
0.97% |
- |
|
CCD (as per NRB Directive) |
75.85% |
78.32% |
- |
|
Cost of Fund (%) |
6.77% |
8.35% |
- |
|
Base Rate (%) |
10.08% |
10.82% |
- |
|
EPS (Rs.) |
12.77 |
14.16 |
-9.82% |
|
Net worth per share (Rs.) |
136.47 |
134.92 |
1.15% |
|
Qtr End PE Ratio (Rs.) |
14.56 |
- |
- |
|
Qtr End Market Price |
186.00 |
- |
- |
|
Price to Book (PB Ratio) |
1.36 |
- |
- |
