Nepal Finance Limited Reports Impressive Growth In Business Volume and Profitability Indicators In Q2; What Are Its Plans Moving Forward?
Mon, Jan 24, 2022 1:43 PM on Company Analysis, Latest,
Nepal Finance Limited (NFS), reported its second-quarter report with impressive business volume. The company saw a 164.59% growth in loans and advances while the deposit to customers grew by 74.30% compared to the corresponding quarter of previous year.
The company reported Net Profit of Rs. 3.32 crores in this quarter while the Net Interest Income stood at Rs. 3.34 crores.
The higher profit margin was due to reversal of loans worth Rs. 2.42 crores during the quarter.
As per the report, the Non-performing Loan (NPL) of the company has declined to 19.03% in this quarter from 41.07% in the corresponding quarter of the previous year.
Similarly, the company has reported annualized earnings per share of Rs. 13.49 and net worth per share of Rs. 142.35.
As per the management, they have been focusing on reviving themselves from utilization of excess liquidity to bring about a positive impact on its profitability while also recovering their previous non-performing assets in the upcoming quarters.
The company is set to issue Right Share amounting to Rs. 49.34 crores (70% of total capital) which will enable them to grow their capital base to Rs. 83.89 cores.
Major Financial Highlights:
|
Particulars |
Nepal Finance Limited |
||
|---|---|---|---|
|
Q2, 2078/2079 |
Q2, 2077/2078 |
Difference |
|
|
Paid-Up Capital |
493,496.00 |
493,496.00 |
- |
|
Reserve & Surplus |
208,976.00 |
184,869.00 |
13.04% |
|
Deposit from Customers |
1,145,679 |
657,297 |
74.30% |
|
Loans & Advances |
772,676 |
292,029 |
164.59% |
|
Net Interest Income |
33,405.00 |
1,921.00 |
1638.94% |
|
Impairment Charge/(Reversal) for loans |
-24,241.00 |
-2,848.00 |
- |
|
Operating Profit |
37,172 |
-6,957.00 |
- |
|
Net Profit |
33,293.00 |
-3,908.00 |
- |
|
Capital Adequacy (%) |
44.03% |
71.31% |
- |
|
NPL (%) |
19.03% |
41.07% |
- |
|
Cost of fund (%) |
7.22% |
5.38% |
- |
|
EPS (Rs.) |
13.49 |
-1.58 |
- |
|
Net worth per share (Rs.) |
142.35 |
137.46 |
- |
|
Qtr end PE ratio (Times) |
52.03 |
- |
- |
|
Qtr End Market Price |
702 |
- |
- |
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