NIDC posts 154% net profit rise in Q4 – thanks to auction of Nabil Bank’s stock

ShareSansar, August 19:

NIDC Development Bank Ltd has posted a massive profit growth of 154 percent in the fourth quarter of last fiscal year 2070/71.

According to the fourth quarterly report of the state-run development bank published today, its net profit increased to Rs 1.03 arba in the last fiscal year, up from Rs 40.50 crore in the corresponding previous year quarter ending.

Though the net interest income of the bank dropped to Rs 23.58 crore in the quarter ending from Rs Rs 26.53, and it has suffered operating loss of Rs 1.31 crore, NIDC still managed to post the growth due to non operating profit of Rs 1.59 arba -- most probably by divesting a bulk of Nabil Bank Group B Promoter Group stock through a share auction.

It mobilized Rs 1.42 arab in deposit and Rs 1.74 arba in loan and advancement in the last fiscal year, up from Rs 99.29 crore in deposit and Rs 1.48 arba in loan in the previous fiscal year.

Non-performing loan of the NIDC has, however, inched up to 23.92 percent in last year from 23.66 percent.

Its EPS (annualized) now stands at Rs 247.98, the P/E ratio at 1.70 times while the net worth per share stands at Rs 638.30.