National Level Microfinance: 84% profit earned by top 5 companies
Sun, Dec 6, 2015 3:20 PM on Latest, Exclusive, Financial Analysis, Featured, Company Analysis, Stock Market,
Sharesansar has ranked the currently traded national level micro finance companies on the basis of the first quarter report of 2072/73. We have analyzed the companies on the basis of their fundamentals such as Paid up Capital, Reserves, Borrowings, Loans and Advances, Net Interest Income, Staff Expenses, Provisions, Operating and Net Profits, NPL, EPS, ROA and ROE.
There are a total of 18 national level microfinance companies operating in Nepal. Out of these, 13 are currently traded in NEPSE, 2 (Mahila Laghubitta and ILFCO Microfinance) have been listed in NEPSE and Mero Microfinance is about to issue its IPO.
According to our analysis 5 companies stand out from the rest. Chhimek Microfinance Development Bank Ltd., Shwabalamban Laghubitta Bikas Bank Ltd., Nirdhan Utthan Bank Ltd., Sana Kisan Bikas Bank Ltd. and Rural Microfiannce Development Centre Ltd. have consistently performed above average on major matrices.
Chhimek has scored the highest score with a total of 9.55 out of 10 and ILFCO and Mahila Sahayatra have scored the least with a common score of 0.91 out of 10. The average score of the national level microfinances was 4.67 out of 10.
Of the total profit of the national level microfinances, 84% has been earned by the top 5 companies with just 16% earned by the remaining 8. All the national level microfinances are in profit. Chhimek Laghubitta has posted the highest net profit as of Q1 with a profit of Rs.10.54 crores and ILFCO Microfinance has the lowest net profit with Rs.10.75 lakhs earned.
Four companies have EPS above Rs.50, three have EPS between Rs.40 and Rs.50 and the remaining 6 have EPS below Rs.30.
The average net worth per share of these companies stands at Rs.185.27. Only Nepal Grameen Bikas Bank Ltd. has networth below Rs.100. Shwabalamban Laghubitta has the highest net worth per share of Rs.358.35.
As of December 3rd 2015, Shwabalamban Laghubitta has the highest market price while Nepal Grameen has the lowest. Shwabalamban’s LTP stood at Rs.2100 and Nepal Grameen’s LTP stood at Rs.210.
*Sana Kissan Microfinance’s fundamentals have been adjusted to reflect its 50% rights offering.
Sharesansar offers fundamental training to interested individuals and organizations. Click here for more information.
Chhimek has scored the highest score with a total of 9.55 out of 10 and ILFCO and Mahila Sahayatra have scored the least with a common score of 0.91 out of 10. The average score of the national level microfinances was 4.67 out of 10.
Of the total profit of the national level microfinances, 84% has been earned by the top 5 companies with just 16% earned by the remaining 8. All the national level microfinances are in profit. Chhimek Laghubitta has posted the highest net profit as of Q1 with a profit of Rs.10.54 crores and ILFCO Microfinance has the lowest net profit with Rs.10.75 lakhs earned.
Four companies have EPS above Rs.50, three have EPS between Rs.40 and Rs.50 and the remaining 6 have EPS below Rs.30.
The average net worth per share of these companies stands at Rs.185.27. Only Nepal Grameen Bikas Bank Ltd. has networth below Rs.100. Shwabalamban Laghubitta has the highest net worth per share of Rs.358.35.
As of December 3rd 2015, Shwabalamban Laghubitta has the highest market price while Nepal Grameen has the lowest. Shwabalamban’s LTP stood at Rs.2100 and Nepal Grameen’s LTP stood at Rs.210.
*Sana Kissan Microfinance’s fundamentals have been adjusted to reflect its 50% rights offering.
Sharesansar offers fundamental training to interested individuals and organizations. Click here for more information.
