Laxmi Bank enters in billionaire club; earns Rs 1.02 arba till Q3 and has capacity to distribute 10% dividend from FY 2075/76 earnings
Tue, May 7, 2019 6:31 AM on Financial Analysis, Stock Market, Latest,
Laxmi Bank Limited (LBL) has published its third quarter report for the FY 2075/76 with 19.56% growth in net profit.
The bank’s profit has increased from Rs 86.11 crore in the third quarter of the fiscal year 2074/75 to Rs 1.02 arba in the third quarter of the fiscal year 2075/76.
In the same quarter, the bank has Rs 70.55 crore as distributable profit after Regulatory Adjustments and PL appropriations which can be utilized in distributing dividends to its shareholders. If the profit growth of this quarter continues in fourth quarter then the company will have Rs 94.06 crore (approx.) as distributable profit. This means Laxmi Bank can distribute around 10% (approx.) dividend from the earnings of FY 2075/76 next year if other regulatory reserve requirements are not required. Laxmi Bank has no amount as share premium till third quarter.
The bank’s deposit rises by 18.13% to Rs 77.44 arba whereas loans and advances have also increased by 17.85% to Rs 70.51 arba in the third quarter. The net interest income (core business income) of the bank has also increased by 34.42% to Rs 2.19 arba from Rs 1.63 arba of the corresponding quarter.
The bank’s paid up capital stands at Rs 8.92 arba with Rs 3.13 arba as its reserve. The Non-Performing Loan (NPL) stands at 1.2%.
The bank’s capital adequacy ratio (CAR) is 11.60% which is near to NRB minimum requirements of 11%. Laxmi Bank is in process to issue Rs 2 billion worth debenture which will increase the bank’s CAR.
In the third quarter, the annualized EPS of the bank stands at Rs 15.39. The net worth per share stands at Rs 135.20 and qtr end PE ratio stands at 13.39 times.
Major Highlights:
* Figure are of Immediate Previous Year Ending (Audited)
* Published EPS, Networth and PE may differ. As per NFRS standard, Weighted average number of shares is taken while calculating EPS, Networth and PE but we have taken number of shares as per Q3 end paid up capital.
|
Particulars (In Rs '000) |
Laxmi Bank |
||
|---|---|---|---|
|
Q3 2075/76 |
Q3 2074/75 |
Difference |
|
|
Paid Up Capital |
8,920,509 |
8,221,667* |
8.50% |
|
Share Premium |
- | - |
- |
|
Retained Earnings |
968,618 |
760,754* |
27.32% |
|
Reserves |
2,171,126 |
2,175,593* |
-0.21% |
|
Deposits |
77,446,188 |
65,561,508* |
18.13% |
|
Loans & Advances |
70,515,740 |
59,834,776* |
17.85% |
|
Net Interest Income |
2,196,217 |
1,633,867 |
34.42% |
|
Impairment Charge/(Reversal) |
-289,207 |
-172,617 |
- |
|
Personnel Expenses |
702,888 |
526,572 |
33.48% |
|
Operating Profit |
1,520,058 |
1,273,758 |
19.34% |
|
Profit/(Loss) for the Year |
1,029,633 |
861,197 |
19.56% |
|
Total Comprehensive Income |
943,486 |
512,092 |
84.24% |
|
Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments |
705,536 |
- |
- |
|
Capital Adequacy Ratio (CAR) |
11.60 |
12.97 |
-10.56% |
|
NPL |
1.2 |
1.16 |
3.45% |
|
CCD (as per NRB Directives) |
78.12 |
77.79 |
0.42% |
|
Cost of Fund (%) |
7.32 |
7.73 |
-5.30% |
|
Base Rate (%) |
10.26 |
11.35 |
-9.60% |
|
Annualized EPS (In Rs.) |
15.39 |
13.97 |
10.19% |
|
Net Worth per Share (In Rs.) |
135.20 |
135.71 |
-0.38% |
|
Qtr End PE Ratio (times) |
13.39 |
- |
- |
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