Nabil Bank earnings crosses Rs 3 arba in Q3 with EPS of Rs 47.21; growth remains stagnant

Tue, May 7, 2019 9:34 AM on Financial Analysis, Stock Market,

Nabil Bank Limited (NABIL) has reported a 3.18% growth in net profit in the third quarter of FY 2075/76.

The bank’s profit has increased from Rs 3.09 arba in the third quarter of the fiscal year 2074/75 to Rs 3.19 arba in the third quarter of the fiscal year 2075/76.

The bank’s deposit rises by meager 14% to Rs 1.53  kharba whereas loans and advances have also increased by 17.55% to Rs 1.28 Kharba till the third quarter. The net interest income (core business income) of the bank has also increased by 18.39% to Rs 5.41 arba from Rs 4.56 arba of the corresponding quarter.

The bank’s paid up capital stands at Rs 9.01 arba with Rs 12.83 arba as its reserve. The Non-Performing Loan (NPL) stands at 0.64%.

In the same quarter, the bank has Rs 2.32 arba 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 3.09 arba (approx.) as distributable profit. This means Nabil Bank can distribute around 34% (approx.) dividend from the earnings of FY 2075/76 next year if other regulatory reserve requirements are not required.

In the third quarter, the annualized EPS of the bank stands at Rs 47.21. The net worth per share stands at Rs 242.38 and qtr end PE ratio stands at 15.58 times.

Click here for Q3 report:

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)

Nabil Bank

Q3 2075/76

Q3 2074/75

Difference

Paid Up Capital

9,011,845

8,043,221*

12.04%

Share Premium

74

74*

0.00%

Retained Earnings

3,765,248

3,254,811*

15.68%

Reserves

9,065,771

9,288,252*

-2.40%

Deposits

153,695,132

134,810,670*

14.01%

Loans & Advances

128,197,344

109,059,365*

17.55%

Net Interest Income

5,410,094

4,569,779

18.39%

Impairment Charge/(Reversal)

390,012

9,143

-

Personnel Expenses

1,404,872

1,215,291

15.60%

Operating Profit

4,507,481

4,250,740

6.04%

Profit/(Loss) for the Year

3,191,071

3,092,766

3.18%

Total Comprehensive Income

3,066,229

3,092,766

-0.86%

Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments

2,324,423

-

-

Capital Adequacy Ratio (CAR)

12.50

13.02

-3.99%

NPL

0.64

1.07

-40.19%

CCD (as per NRB Directives)

78.85

76.2

3.48%

Cost of Fund (%)

6.06

4.63

30.89%

Base Rate (%)

7.99

7.33

9.00%

Annualized EPS (In Rs.)

47.21

51.27

-7.91%

Net Worth per Share (In Rs.)

242.38

255.95

-5.30%

Qtr End PE Ratio (times)

15.58

-

-