Meager profit growth of Prime Commercial Bank by 13.80% to Rs 25.10 crore in Q1; Announces 23% stock dividend

Prime Commercial Bank Limited (PCBL) has registered meager profit growth of 13.80 percent in the first quarter (Q1) of the fiscal year 2073/74. According to the unaudited financial report published by the commercial bank today, its net profit has elevated to Rs. 25.10 crore in first quarter up from Rs. 22.05 crore in the corresponding quarter of the previous fiscal year. Prime Commercial Bank’s net interest income has risen to Rs 38.02 crore in Q1 as compared to Rs. 30.73 crore in the corresponding quarter. It has a paid up capital of Rs 3.70 arba with reserve of Rs 2 arba in Q1. The bank also collected of deposits of Rs 52.41 arba in Q1, up from Rs.41.40 arba in the corresponding period last year. Likewise, it has extended loans and advances of Rs. 42.34 arba in Q1 whereas in the same period last year the figure stood at Rs. 32.82 arba. Its non-performing loan (NPL) declined to 1.32 percent in the current quarter from 1.72 percent in the previous year report. Prime Bank’s Earning per Share (EPS) stands at Rs. 27.10, net worth per share at Rs.154.16, and P/E ratio at 24.28 times. Meanwhile, Prime Commercial Bank  has decided to distribute 23 percent stock dividend to its shareholders. As per the notice published in Nepal Stock Exchange (NEPSE) today, the company’s meeting BOD held on Kartik 9, 2073 has proposed 23 percent bonus share and 1.21 percent cash dividend for tax purpose to its shareholders from the net profit it earned in the last fiscal year 2072/73. The decision is subjected to approval from Nepal Rastra Bank and the bank’s upcoming Annual General Meeting (AGM). Earlier, PCBL had distributed 18 % bonus share to its shareholders in the fiscal year 2071/72. Its paid up capital remains at Rs 3.70 arba. After issuance of 33.33 percent right share, the paid up capital will reach Rs 4.93 arba. Likewise, after distribution of 23 percent bonus share its paid up capital will reach to Rs. 6.06 arba. PCBL had issued 3:1 (33.33%) right shares to its existing shareholders from Bhadra 12, 2073 to Ashwin 16, 2073. The commercial bank has recently signed an agreement to acquire Biratlaxmi Bikas Bank Limited (BLDBL) and Country Development Bank Limited (CNDBL).