NBL’s profit rises by 5.7 times due to write back of Rs 23 crore; provision, NPL worrisome
Fri, Feb 14, 2014 12:00 AM on Others,
ShareSansar, February 14:
Nepal Bank Limited, the oldest bank in the country, has reported a massive profit rise of 572 percent in the second quarter of the current fiscal year 2070/71.
According to the unaudited financial statement for the second quarter published by the commercial bank today, its net profit has risen from Rs 3.90 crore in the corresponding quarter of the last fiscal year to Rs 26.22 crore by the end of the second quarter.
The profit was largely propelled Rs 22.95 crore it was able to write back even as its core business has also improved a bit.
Its net interest income has risen to Rs 1.1 arba in the second quarter from Rs 77.97 crore in the corresponding quarter.
NBL mobilized Rs 64.32 arba in deposit and Rs 38.94 crore in loan as compared to Rs 57.01 arba in deposit and Rs 32.41 arba in loan in the corresponding quarter.
The bank’s profit and loss account is still worrisome in that it has provisioned Rs 24.21 crore for the possible losses, and that its non-performing loan has also risen to 5.83 percent up from 5.40 percent.
NBL’s EPS still stand at Rs 13.22 and its net worth per share is priced at Rs 9.91.
It may also be noted that Nepal Bank is the last commercial bank to announce its quarterly report for the second quarter.
